Your Son Is About to Start Kindergarten in a Private

question 13

Multiple Choice

Your son is about to start kindergarten in a private school.Currently,the tuition is $12,000 per year,payable at the start of the school year.You expect annual tuition increases to average 6% per year over the next 13 years.Assuming that you son remains in this private school through high school and that your current interest rate is 6%,then the present value of your son's private school education is closest to:

• A) $106,230
• B) $156,000
• C) $137,900
• D) This problem cannot be solved.

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Definitions:

Physical Well-Being

The aspect of health that involves the physical condition of the body, including fitness levels and absence of disease.

Breast Buds

The early developmental stage of breast growth in adolescents, marked by small, firm lumps under the nipples.

Pubic Hair

Body hair that grows in the genital area, signaling the onset of puberty and sexual maturation.

Average Age

The mean age of a specific population or demographic group.