John Is Planning to Go to Graduate School in a Program

Multiple Choice

John is planning to go to graduate school in a program that will take three years. John wants to have available $10,000 available each year for his school and living expenses. If he earns 6% on his investments, how much must be deposited at the start of his studies for him to withdraw $10,000 a year for three years?

A) $10,000
B) $18,390
C) $26,730
D) $29,100
E) $30,000