Transcribed Image Text: In 1992, the four-year cost of tuition at UMass was $19,000. Tuition is expected to rise 79%
over the following decade.
(a) Find the annual percent increase in tuition, assuming it is constant throughout the decade.
(b) How much should parents of a child born in 1992 invest at the time of the child’s birth at
8% annual interest compounded continuously in order to have sufficient tuition for their
child at age 18?
(c) A family is able to invest $5,000 in 1992 at 9% annual interest, compounded monthly. How
long will it take for this amount to grow sufficiently to cover 4 years’ tuition? (Note: the
cost of tuition is not fixed, it is a function of time.)