Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Homework Help/Study Tips Expert

A grandmother is looking for a plan to finance her new grandchild's college education. She consists of $45,000 to invest. Search the internet and place a long-range investment plan, CD, Savings Bond and so on for the grandmother. The plan is to earn compound interest.

Compute the future value of the investment. You should use the advertised interest rate, the number of compounding periods per year and the time the funds will be invested. If you are not given the number of compounding periods a year, utilize monthly compounding. 

1) The principal is $45,000. This is P.

2) Research the annual interest rate for your investment. This is r.

3) State the time in years for the investment (as in if the new grandchild will be attending college). This is t.

4) Describe the number of compounding periods per year. This is n.

5) Model the future value of Grandma's investment as the exponential function, with time as the independent variable: F(t) = P(1 + r/n) nt

6) Show all the intermediate computations and state the future value of Grandma's investment.

7) Use the Internet or library resources to find out the average cost of a college education today; will grandma's investment be capable to cover the cost in today's dollars; what about in the future?

8) What other costs, alongside tuition, might be incurred by the college-bound grandchild?

9) How much would grandmother have to invest, and at what compound interest rate and terms would grandmother have to invest this money to completely cover the grandchild's college experience? Show how you determined such values.

10) Sum up your findings in writing by using proper style and grammar. 

Homework Help/Study Tips, Others

  • Category:- Homework Help/Study Tips
  • Reference No.:- M916481

Have any Question? 


Related Questions in Homework Help/Study Tips

A mixture of gases has the partial pressures of 0308 atm

A mixture of gases has the partial pressures of 0.308 atm due to He, .259 atm due to N 2 , and the rest is due to O 2 .  If the total pressure of the mixture is 752 mmHg, what is the partial pressure due to oxygen?

Why cant we just get along please respond to the following

"Why Can't We Just Get Along?" Please respond to the following: Explain at least three reasons why there are so many divisions /denominations in the Christian religion. Explain what is meant by the term "synoptic gospels ...

Outside speech evaluation assignment- reflect and

Outside Speech Evaluation Assignment - Reflect and critically evaluate a speech outside of class (something you found online). - The outside speech must be a prepared, focused speech, and cannot be from fictional work, s ...

Assignment gender identityyou have some expertise in gender

Assignment: Gender Identity You have some expertise in gender identity development although you may not be aware of it. This assignment presents you with the opportunity to explore your own gender identity development. G ...

Assignment developing an investigation planread the case

Assignment : Developing an Investigation Plan Read the case below and complete this assignment. A child was playing in a local park with his brother. A car pulled up as they were leaving the playground. A man inside the ...

Projectoutcomes addressed in this activity- evaluate the

Project Outcomes addressed in this activity: - Evaluate the different testing processes - Explain the issues associated with development when selecting a system architecture - Describe the reasons why the maintenance pha ...

Rethinking racism bonilla-silva questions1 in the opening

RETHINKING RACISM: BONILLA-SILVA QUESTIONS 1. In the opening quote: "The habit of considering racism as a mental quirk, as a psychological flaw, must be abandoned." What does Frantz Fanon (1967:77) mean by "mental quirk" ...

This assignment will assess learning outcomes1 a basic

This assignment will assess learning outcomes: 1) A basic knowledge and understanding of the legal system and the legal structure of the Gulf Region. 2) An appreciation of the formalities and principles governing the for ...

As people mature they can change sometimes they become

As people mature, they can change. Sometimes they become better human beings: self-confident, sensitive, thoughtful, and kind. Sometimes their experiences make them weak, callous, or cruel. Explain how and why the follow ...

1 encourage further dialogue and discussion2 encourage your

1. encourage further dialogue and discussion 2. encourage your classmate to think about other aspects of the topic 3. ask a relevant, meaningful question to better assist with your understanding 4. compare and/or contras ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro