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In the late 1980s, four states instituted programs whereby parents could prepay the future college tuition of their children when their children were born. Florida, which was one of these states, would collect prepayments from parents, and then pay out the tuition payments to any of the state's public universities when the child went to college. The governor of the State of Florida at the time concluded that all parents in the state should participate in the program in order to save on tuition costs.

Each of the following, if they had been true, would have been an appropriate reason for some Florida parents not to participate in the program EXCEPT:


(A) The prepayment money paid to the state was returned less a large fee if the child did not attend college. : Okay if the child did not attend college a large fee will be deducted from the fund. Hence its a deterrent : Incorrect

(B) Some parents were unsure about which public college in the state their child would attend. : The choice of college does not matter. Irrelevant : Correct

(C) The amount of money accumulated by putting the prepayment funds in an interest bearing account would have exceeded the cost of tuition by the time the child was college age. Okay then the parents may opt for the interest bearing account : Deterrent : Incorrect

(D) The prepayment money paid to the state was forfeit if a child attended a college in another state. If the child attended college in another state the money will be lost . Hence this option is also a deterrent. Incorrect

(E) Some parents expected that their children would receive large amounts of financial aid when they arrived at college, and would not need their full tuition paid. If the parents expected their child to get a lot of financial aid, their children would not require the fund for tuition. Hence this option is also a deterrent : Incorrect
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In the late 1980s, four states instituted programs whereby parents could prepay the future college tuition of their children when their children were born. Florida, which was one of these states, would collect prepayments from parents, and then pay out the tuition payments to any of the state's public universities when the child went to college. The governor of the State of Florida at the time concluded that all parents in the state should participate in the program in order to save on tuition costs.

Each of the following, if they had been true, would have been an appropriate reason for some Florida parents not to participate in the program EXCEPT:


(A) The prepayment money paid to the state was returned less a large fee if the child did not attend college.
Incorrect - Perfectly good reason not to participate

(B) Some parents were unsure about which public college in the state their child would attend.
Correct - Hold on to this and go through the other answers, this one will be left and after process of elimination

(C) The amount of money accumulated by putting the prepayment funds in an interest bearing account would have exceeded the cost of tuition by the time the child was college age.
Incorrect - You would be left with extra money after paying for tuition

(D) The prepayment money paid to the state was forfeit if a child attended a college in another state.
Incorrect - You would be limited to your state

(E) Some parents expected that their children would receive large amounts of financial aid when they arrived at college, and would not need their full tuition paid.
Incorrect - Perfectly good reason to not participate
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