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23. You're deciding whether to pursue a Master's degree in Economics. With your Bachelor's degree, you'll earn $105,800 per year, but with a Master's degree, you'd earn $134,000 annually. Your degree depreciates at a rate of 2% per year, and the real interest rate is 2%. You should pursue the Master's degree if the present value of the cost of acquiring it is less than. the cost of a. $2,645,000; tuition b. $705,000; tuition c. $705,000; tuition and foregone income while completing the degree d. $2,645,000; tuition and foregone income while completing the degree which includes

23. You're deciding whether to pursue a Master's degree in Economics. With your Bachelor's degree, you'll earn $105,800 per year, but with a Master's degree, you'd earn $134,000 annually. Your degree depreciates at a rate of 2% per year, and the real interest rate is 2%. You should pursue the Master's degree if the present value of the cost of acquiring it is less than. the cost of a. $2,645,000; tuition b. $705,000; tuition c. $705,000; tuition and foregone income while completing the degree d. $2,645,000; tuition and foregone income while completing the degree which includes

Microeconomic Theory
Microeconomic Theory
12th Edition
ISBN:9781337517942
Author:NICHOLSON
Publisher:NICHOLSON
Chapter17: Capital And Time
Section: Chapter Questions
Problem 17.2P
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23. You're deciding whether to pursue a Master's degree in Economics. With your Bachelor's degree, you'll earn $105,800 per year, but with a Master's degree, you'd earn $134,000 annually. Your degree depreciates at a rate of 2% per year, and the real interest rate is 2%. You should pursue the Master's degree if the present value of the cost of acquiring it is less than. the cost of a. $2,645,000; tuition b. $705,000; tuition c. $705,000; tuition and foregone income while completing the degree d. $2,645,000; tuition and foregone income while completing the degree which includes
Transcribed Image Text:23. You're deciding whether to pursue a Master's degree in Economics. With your Bachelor's degree, you'll earn $105,800 per year, but with a Master's degree, you'd earn $134,000 annually. Your degree depreciates at a rate of 2% per year, and the real interest rate is 2%. You should pursue the Master's degree if the present value of the cost of acquiring it is less than. the cost of a. $2,645,000; tuition b. $705,000; tuition c. $705,000; tuition and foregone income while completing the degree d. $2,645,000; tuition and foregone income while completing the degree which includes
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