Good afternoon interns,

As you all know, you are all vying for the 15 openings to beoffered at the end of the internship. Another chance has come upfor you to show us that you deserve one of those positions here atFirmament Financials Inc. New clients, Mr. and Mrs. Perezare planning on starting a family and would like to start savingfor their child’s college education. The want to know what they canafford when their child is ready for college. They would like toutilize our Yearly College Savings Plan which grows a yearlydeposit at an APR of 15% with continuous compounding. Your job isto analyze their information and come up with feasiblerecommendations. Their information can be found in the email theysent. Of course, you will be graded on your analysis. A gradingrubric has been provided.

Good luck interns!

Dear Ms. Robles,

As satisfied customers of Firmament Financial, we ofcourse look to you to help us save for our upcoming child’s collegeeducation. We feel that we can afford $100 per month for the 18years until college in your College Savings Plan. We have a list ofuniversities that we have researched with the approximate cost peryear for each. Which if any of the university options will we beable to afford for our child? We would prefer to send them to anelite private university if we can afford it.

Anthony & Veronica Perez

University/College Type	Cost per Year
Elite Private	$100,000
Elite Public	$80,000
State Private	$60,000
State Public	$40,000
Out of State Community College	$6,000