1. When her great niece Alexis is born, Great Aunt Florence deposits $25,000 in a 529 college savings account that grows annually at a rate of 6%. How much money will be in Alexa’s 529 account when she is ready to go to college 18 years from now?
2. How much interest did Great Aunt Florence’s $25,000 deposit earn over the 18 years it was invested?
3. Re-compute Question #1 assuming a 6% annual rate compounded monthly for 18 years.
4. How do you build a volatility model on excel from scratch?