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Douglas is contemplating undertaking a degree in (advanced) ower pressing. The facts are as

follows: tuition is s= 60,000; he can earn w= $10K as a part-time waiter in college; the interest rate is r= 10%; and he anticipates earning w= $144K after he graduates. If, instead, he does not enroll in college, then he will earn wn= $45K per annum during each period. Is it optimal for him to enroll in the program? What if w increases to $155K?

Macroeconomics, Economics

  • Category:- Macroeconomics
  • Reference No.:- M9473904

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