Hello, mathie2004!

We are expected to be familiar with Annuities . . .

Mr. Liang wishes to accumulate $100,000 in a college fund for his newborn daughter.

He wishes the money to be available to her on her eighteenth birthday.

The fund has an annual effective interest rate of 4%.

If Mr. Liang plans to make equal annual contribution beginning on his daughter's first birthday

and ending on her eighteenth birthday, calculate the size of the annual contribution.

We have: .

Therefore: .