What lump sum do parents need to deposit in an account earning 10%, compounded monthly, so that it will grow to $80,000 for their son's college fund in 16 years? (Round your answer to the nearest cent.) %24

What lump sum do parents need to deposit in an account earning 10%, compounded monthly, so that it will grow to $80,000 for their son's college fund in 16 years? (Round your answer to the nearest cent.) %24

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money

Section: Chapter Questions

Problem 9.18E

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What lump sum do parents need to deposit in an account earning 10%, compounded monthly, so that it will grow to $80,000 for their son's college fund in 16 years? (Round your
answer to the nearest cent.)
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