You are planning for your son's college education to begin five years from today. You estimate the yearly tuition, books, and living expenses to be $5,000 per year for a four-year degree, assuming the expenses incur only at the end of the year. How much must you deposit today, at an interest rate of 8 percent, for your son to be able to withdraw $5,000 per year for four years of college?
A) $11,270
B) $13,620
C) $20,000
D) $39,520
Answers: 3
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