In return, all James did was slander Benjamin’s name throughout the community so he wouldn’t be able to find work anywhere else. This was a big challenge for Benjamin because not only did he have a bad name that lasted quite a long time but he also had to force himself to move to distant places like New York and Pennsylvania. He had to travel under dangerous conditions across seas to find another job. Also another challenge Benjamin faced after leaving his fathers job, was that he couldn’t find a long stable and suitable job for himself. He always faced problems at every new job he joined. On his way to New York, Benjamin meets Bradford, who was not able to offer him any jobs. But he refers Benjamin to his son Andrew who was a printer in Pennsylvania. When Benjamin gets to Pennsylvania, Andrew did not have a job to offer him. Then Andrew refers him to go work for Keimer, who is also another printer. Although Keimer gave Benjamin work, but it doesn’t last long. He later stops living with Keimer and ends up leaving the job. From these events in his life we are able to see the cycle and pattern, and he might face similar challenges in the future. Benjamin gets pushed around from places to places to find a jobs with very few people recognizing his ability and passion to write, and how much of an intellectual, he was. He wasn’t able to save up his money due
5. What initial salary would Ben need to receive to make him indifferent between attending Wilton University and staying in his current position?
Therefore, the best option for Ben is getting the MBA at Wilton University because it has highest net present value which is $1,461,953.54.
Given that the total profit over 8 years is $1.2375B (or $155M per year for 8 years), we will now compute the Present Value of this amount using the following formula:
The present value of an outlay in perpetuity for a particular project can be calculated as follows:
In this case Ben has to consider the cash out flows he has to face to repay the loan (principle + interest). Assuming Ben takes a 5 year loan, with the borrowing rate of 5.4% and discount rate of 6.5%, the loan turns out to be a slightly better funding option for his MBA (with increased NPVs). Considering Ben borrows the money, the NPV values of the three options are as follows:
Ben had a tough childhood. They were very poor as they had to feed and give clothes for 13 children. Ben was at the age of 17 when he made a big decision. He wanted a better life so he ran away from home. When he became pretty rich again he helped to buy guns for America during the war with England.
Benjamin didn’t want to continue with the chosen family trade and was eyeing going out to sea, his father being unquestionably against it went on to show Benjamin every trade on land to persuade him away from being a fisherman. Knowing that Franklin had a love for reading anything he could get his hands on his father sent him to be his older brother’s apprentice in printing. On to the age of twelve Benjamin sign a contract under his brother stating that he would be apprentice until age of twenty-one and only receive payment for the last year of work. Years would go by and his brother would get into trouble having to go in front of a board, the deciding factor that he could no longer print his newspaper. So, Ben’s brother decided to put the newspaper under the name of Benjamin Franklin. A sibling dispute happened conversely Benjamin tried to find work elsewhere, only to be turned down for his brother had spoken to every master in town giving them reasons why to not hire
in all and Ben was number 10. Ben only went to school for 1 year and was helping his
Benjamin Franklyn’s perseverance is one of his most honorable character traits. When he was just 12 years old, he quit school and signed an apprenticeship for 9 years, working for his older brother at his printing shop. Even though Ben loved books and
Ben began working for his father and was bored quickly. Ben had a strong interest for everything and he wanted to learn and know it all. He tried other work options but none of which panned
13. What is the formula for the Present Value (PV) for a finite stream of cash flows (1 per year) that lasts for 10 years?
Ben’s wealth is part of his mythic quality. In both of the episodes that Willy remembers, Ben’s final word is “Rich” (miller 52, 87). The source of his wealth is vague, two completely stories are shared. First, there is the repeated tale of walking into the jungle at seventeen and walking out at twenty-one having made a fortune. But this is not an explanation, it is “an incantatory formula” (Jacobsen 251). Key to this formula is the reference to God. “And by God I was rich” (Miller, 50, 52). This places the responsibility for success in other than human hands, thereby rending any advice Willy might ask for as pointless. In contrast, there is a suggestion of a more common truth behind Ben’s success in the practical advice he gives Biff. “Never
To calculate the NPV ( Net Present Value) we discount the cash flow at the given discount rates