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Attending school a and staying in current position

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What initial salary would Han need to receive to make him indifferent between attending school A and staying in his current position? Assume his tax rate after graduating from school A will be 31 percent regardless of his income level.

Suppose that instead of being able to pay cash for his MBA, Han must borrow the money. The current borrowing rate is 5.4 percent. How would this affect his decision to get an MBA?

Reference no: EM132404502

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