Derrick's parents are finalizing a budget for his college expenses. His first year of college will cost $8,000, and his expenses will increase by 12% each year. What is the amount they should budget for Derrick's four-year college education, to the nearest dollar?

$38,235 is needed.

$42,823 is needed.

$32,072 is needed.

$39,200 is needed.

Question

Mathematics

Aussie

20 September, 12:27

Derrick's parents are finalizing a budget for his college expenses. His first year of college will cost $8,000, and his expenses will increase by 12% each year. What is the amount they should budget for Derrick's four-year college education, to the nearest dollar?

$38,235 is needed.

$42,823 is needed.

$32,072 is needed.

$39,200 is needed.

+1

Answers (1)

Know the Answer?

Tessa Jarvis · Answer 1

1st year = 8000

2nd year = 8000 * 1.12 = 8960

3rd year = 8960*1.12 = 10035.20

4th year = 10035.20 * 1.12 = 11239.42

8000 + 8960 + 10035.20 + 11239.42 = 38234.62 round to $38,235