Solution-Should get the mba, At the local college, during

Should get the mba

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problem 1: It is January 1, 2000. Marty plans on retiring exactly 10 years from now. He is currently paid $65,000 per year, at the end of each year. His boss sends him an email saying that, if he gets an MBA, he will get a raise to $87,000 per year, also paid at the end of each year. Unfortunately, it takes 2 years to complete the MBA at the local college, during which time he cannot work. The MBA costs $14,000 per year, paid in advance. His discount rate is 2%. Should he get the MBA?

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Should get the mba

Reference no: EM132808469

Reference no: EM132808469

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