16
QuizMultiple Choice

Planning for the Cost of College

Question 16 • 2027 Ignite Financial Literacy-Personal Finance - EL3403

Iman has 48 months to save $18,000, the maximum amount he estimates his first year of college will cost. He does not want to depend on interest, and does not consider interest when determining his minimum monthly savings goal. What is the minimum amount he should save per month to achieve his goal?

Answer
A
$350.00
B
$375.00
C
$425.00
D
$450.00

Explanation

Divide the $18,000 goal by the 48 months available: $18,000 ÷ 48 = $375 per month. Since Iman is not counting on interest, he should save at least $375.00 each month. The correct choice is $375.00.

AI-written and checked against the verified answer.

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