contestada

a. She estimates that the per year cost to attend a local university in Texas including room and board is $26,346. She also assumes the costs of attendance will rise by 2.8% per year. How much is a 4-year degree going to cost Scarlett

Respuesta :

anthougo

The 4-year degree will cost Scarlett a total of $109,893.33.

How is the total cost determined?

The total cost of Scarlett's university education can be determined using the future value formula or an online finance calculator as follows:

Data and Calculations:

Cost of university education = $26,346

Annual increase in cost = 2.8%

Duration of study = 4 years

From an online finance calculator:

N (# of periods) = 4 years

I/Y (Increment per year) = 2.8%

PV (Present Value) = $0

Annual PMT (Periodic Payment) =$26,346

Results:

FV = $109,893.33

Sum of all periodic payments + $105,384.00

Total increment = $4,509.33

Thus, the 4-year degree will cost Scarlett a total of $109,893.33.

Learn more about determining future value or cost at https://brainly.com/question/25805668

Otras preguntas