Prepaid tuition plans provide for the prepayment of college, Financial Management

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Prepaid tuition plans provide for the prepayment of college

Which of the following statements, if any, is (are) correct?

1. Prepaid Tuition plans provide for the prepayment of college tuition at current tuition prices, plus a small premium, for future enrollment.

2. A disadvantage of a QTP (qualified tuition plan) is that the owner / contributor must relinquish control of the account, and share control of the funds with the student / beneficiary.

A.1 only.

B. 2 only.

C. Both 1 and 2.

D. Neither 1 nor 2.

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Financial Management: Prepaid tuition plans provide for the prepayment of college

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