College Costs The average annual cost of college at 4-year private colleges was $31,231 in the 2014-2015 academic
year. This was a 3.7% increase from the previous year.
Source: The College Board
(a) If the cost of college increases by 3.7% each year, what
will be the average cost of college at a 4-year private
college for the 2034–2035 academic year?

(b) College savings plans, such as a 529 plan, allow individuals to put money aside now to help pay for college later. If one such plan offers a rate of 2%
compounded continuously, how much should be put in a college savings plan in 2016 to pay for 1 year of the cost of college at a 4-year private college for an incoming freshman in 2034?