Final answer:
To pay for Anthony's rent for the next six years, Anthony's dad should invest approximately $56,530.92 into a savings account today.
Step-by-step explanation:
To calculate how much Anthony's dad should invest into a savings account today, we need to find the present value of the future rental payments. The rent is $900 payable at the beginning of each month for the next six years, which totals $900 x 12 months x 6 years = $64,800. The savings account earns 3.50% compounded monthly, so we can use the formula for compound interest to find the present value.
Formula: PV = CF / (1+r)^n, where PV is the present value, CF is the future value, r is the interest rate per period, and n is the number of periods.
Plugging in the values: PV = 64800 / (1 + 0.035/12)^(12 x 6)
Calculating: PV ≈ $56,530.92