A college education costs approximately $75,000 at an Ivy League school. If inflation averages 8% per year, how much more would the education cost in 15 years?
A) $162,912.68
B) $237,912.68
C) $312,912.68
D) $2,036,408

Question

Quizplus · Accepted Answer

The future cost of the education can be calculated using the formula for compound interest: Future Value = Present Value * (1 + inflation rate)^number of years. Plugging in the values: $75,000 * (1 + 0.08)^15 = $237,912.68. The increase in cost is $237,912.68 - $75,000 = $162,912.68.

A College Education Costs Approximately $75,000 at an Ivy League