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  # Annuity for a Future Value
  
  Your two children go to college in the future. First goes to college in 10 years from now, and will require \$20,000 each year for the four years of college. Second child goes to college 15 years from now, and will need \$24,000 each year for the four years of college. You wish to make equal, end of year payments between now and the point where your first child goes to college, i.e. in 10 years. If the interest rate is assumed to be 10% per year for each of the next 20 years, what must your deposit each year be?
  
  #### Solution Preview
  
  Note: The abbreviations have the following meanings
  
  PVIF= Present Value Interest Factor
  PVIFA= Present Value Interest Factor for an Annuity
  
  They can be read from tables or calculated using the following equations
  PVIFA( n, r%)= =[1-1/(1+r%)^n]/r%
  PVIF( n, r%)= =1/(1+r%)^n
  
  Your two children go to college in the future. First goes to college in 10 years from now, and will require \$20,000 each year for the four years of college. Second child goes to college 15 years from now, and will need \$24,000 each year for the ...
  
  #### Solution Summary
  
  This solution provides assistance calculating the annuity for a future value.
  
  \$2.19
explanation: The document presents a financial planning problem related to saving for college education. It involves calculating the annual deposit required to fund the college education of two children, considering the timing of their college attendance and the interest rate. The document includes a question and a detailed solution, explaining the use of Present Value Interest Factors (PVIF and PVIFA) to solve the problem.
distilabel_metadata.content: Evaluate the user given text extract and determine if it contains a math question and optionally and answer to this question.
  
  Output rules:
  
  1. Briefly describe the document and mention if it contains a question or a question and answer.
  2. Finalize the output with: Label: no-question,question,question-and-answer,multiple-question,multiple-question-and-answer
distilabel_metadata.role: system
distilabel_metadata.content: Share
  Explore BrainMass
  
  # Annuity for a Future Value
  
  Your two children go to college in the future. First goes to college in 10 years from now, and will require \$20,000 each year for the four years of college. Second child goes to college 15 years from now, and will need \$24,000 each year for the four years of college. You wish to make equal, end of year payments between now and the point where your first child goes to college, i.e. in 10 years. If the interest rate is assumed to be 10% per year for each of the next 20 years, what must your deposit each year be?
  
  #### Solution Preview
  
  Note: The abbreviations have the following meanings
  
  PVIF= Present Value Interest Factor
  PVIFA= Present Value Interest Factor for an Annuity
  
  They can be read from tables or calculated using the following equations
  PVIFA( n, r%)= =[1-1/(1+r%)^n]/r%
  PVIF( n, r%)= =1/(1+r%)^n
  
  Your two children go to college in the future. First goes to college in 10 years from now, and will require \$20,000 each year for the four years of college. Second child goes to college 15 years from now, and will need \$24,000 each year for the ...
  
  #### Solution Summary
  
  This solution provides assistance calculating the annuity for a future value.
  
  \$2.19
distilabel_metadata.role: user
distilabel_metadata.raw_output_q_a_detector_0: The document presents a financial planning problem related to saving for college education. It involves calculating the annual deposit required to fund the college education of two children, considering the timing of their college attendance and the interest rate. The document includes a question and a detailed solution, explaining the use of Present Value Interest Factors (PVIF and PVIFA) to solve the problem.
  
  Label: question-and-answer