Victor hernandez Considers a Career Change Victor is somewhat satisfied with his sales career and has always wondered about a career as a teacher in a public school. He would have to take a year off work to go back to college to obtain his
Victor hernandez Considers a Career Change
Victor is somewhat satisfied with his sales career and has always wondered about a career as a teacher in a public school. He would have to take a year off work to go back to college to obtain his teaching certificate, and that would mean giving up his $53,000 salary for a year. Victor expects that he could earn about the same income as a teacher.
-
(a) What would his annual income be after 10 years as a teacher if he received an average 3 percent raise every year? (Hint: Use Appendix A.1.)
-
(b) Victor also could earn $4,000 each year teaching during the summers. What is the accumulated fu- ture value of earning those annual amounts over 10 years assuming a 5 percent raise every year? (Hint: Use Appendix A.3.)
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
