Determine the payback period of your educational cost

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Reference no: EM133810472

Assignment: Managerial Case

Instructions:

Carefully review the case, assumptions and requirements given below. I want you to prepare a typed report in Word that will be submitted on D2L.

Case:

Your graduate program at Roosevelt University will cost you 93,960 and let's assume you will be finished in 2 years. The tuition cost should include books and be net of any scholarships you received.

With your graduate degree, you expect to increase your employment opportunities, provide better job security and increase your salary.

To review the net benefits of your education, compare your education cost with the present value of your salary increases.

Case Assumptions:

A. You will work full time for the next 25 years.
B. Your salary will be $25,000 more a year because of your graduate degree.

Task

A. Determine the present value of your increased salary benefits. Assume an interest rate of 8%.

B. Calculate the net cost of your education. (no need to present value it, but do subtract scholarships) Scholarship is $14,220 total

C. Determine the payback period of your educational cost. Get the instant assignment help.

D. What factors would change the present value of the salary benefits and the payback period.

E. What were the opportunity cost or costs of pursuing the graduate education program at Roosevelt?

F. What do you feel are some of the qualitative benefits of your degree at Roosevelt University?

Reference no: EM133810472

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