Multiple Choice
Carol is planning for her son's college education to begin five years from today. She estimates the yearly tuition, books, and living expenses to be $5,000 per year for a four-year degree. How much must Carol deposit today, at an interest rate of 8 percent, for her son to be able to withdraw $5,000 per year for four years of college?
A) $20,000
B) $13,620
C) $39,520
D) $11,277
Correct Answer:
Verified
Correct Answer:
Verified
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