Question

all of the following are characteristics of the prepaid tuition plan except which?

a. it has an open enrollment period

b. it has a limited enrollment period

c. it's not available in every state

d. there are state residency restrictions

Answer 1

Hi!

All of the following are characteristics of the prepaid tution plan except: A. It has an open enrollment period.

Answer 2

Answer;

It has an open enrollment period

Explanation;

A 529 prepaid tuition plan is a way to pay the cost of tomorrow’s college-inflated tuition prices at current costs.

A prepaid tuition plans allows an individual to pay for a certain number of semesters (or contracts) that can be redeemed in the future. These program administrators then pool the money and make long-range investments so that the earnings meet or exceed college tuition increases. When a child is ready to go to college, the plan transfers funds to cover the tuition directly to the institution.