Assuming That College Costs Continue to Increase an Average of 4

question 94

Multiple Choice

Assuming that college costs continue to increase an average of 4% per year and that all her college savings are invested in an account paying 7% interest,then the amount of money she will need to have available at age 18 to pay for all four years of her undergraduate education is closest to:

• A)$97,110
• B)$107,532
• C)$101,291
• D)$50,000
• E)$85,790

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Definitions:

Mood Disorder

A psychological condition characterized by the elevation or lowering of a person's mood, such as depression or bipolar disorder.

Depression

A mental health disorder characterized by persistently low mood, lack of interest in activities, and other symptoms that impair daily functioning.

Compulsions

Actions or thoughts repeatedly carried out by a person due to a compelling obsession.

Public Asylums

Institutions historically used for the care and confinement of individuals deemed mentally ill or otherwise societally undesirable.