Homework Help: math

Posted by Vanessa on Friday, December 16, 2011 at 5:25pm.

College is expected to cost $150,000 per year in 18 years, how much should you begin depositing annually at the end of each year to accumulate enough funds to pay the first years tuition at the beginning of the 19th year? earning 6% annual rate of return of the investment

math - drwls, Friday, December 16, 2011 at 7:03pm
150,000 = A*[1.06)^18 -1]/0.06

Where A is the required annual contribution, made n = 18 times.
150,000 = A*30.906
A = $4853.48
math - tom, Sunday, December 18, 2011 at 11:51pm
For tax purposes, business frequently depreciate equipment.

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