Question

Tanner is an 8th grader in Texas and wants to attend Stanford University after he graduates from

high school. Stanford is a private university and one year of tuition cost $46,320. He plans to attend
Stanford for four years and graduate with a bachelor's degree. His parents have committed to giving
him $8,000 each year towards tuition. Tanner plans to save for the next four years to prepare for the
cost. Determine the minimum amount of money he will need to save each month to pay for one year
of tuition.

Answer 1

Tanner will have to save $3,193.34 per month for 4 years to pay his tuition for Stanford.

Tanner's tuition over 4 years to get his Bachelor's degree all together will cost $185,280 (multiply 46,320×4). His parents will pay $32,000 (multiply 8,000×4) of his whole tuition. If we do the equation $185,280-$32,000 we get $153,280 which is what Tanner will have to pay. There are 48 months in 4 years. To find the answer you must solve the problem 48x= $153,280. To solve the problem divide both sides by 48. The answer to this equation is technically $3,193.3333333333 but for simplicity's sake we can round to $3,193.34. That is why the answer to this question is $3,193.34 per month of savings.