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What is the minimum salary Brad would need

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Q1. Determining the Future Value of Education. Jenny Lopez estimates that as a result of completing her master's degree, she will earn an additional $8,000 a year for the next 40 years.

a. What would be the total amount of these additional earnings?

b. What would be the future value of these additional earnings based on an annual interest rate of 6 percent?

Q2. Comparing Living Costs. Luke Anderson is earning $48,000 a year in a city located in the Midwest. He is interviewing for a position in a city with a cost of living 12 percent higher than where he currently lives. What is the minimum salary Brad would need at his new job to maintain the same standard of living?

Reference no: EM132847172

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