U.S. Census Bureau statistics show that the annual earnings for persons with a high school diploma are $35*220 versus $57,925 for someone with a bachelor's degree. If the cost of attending college is assumed to be $30,000 per year for 4 years and the forgone earnings during those years are assumed to be $35,220 per year, what rate of return does earn a bachelor’s degree represent? Use a 35-year study period.
U.S. Census Bureau statistics show that the annual earnings for persons with a high school diploma are $35*220 versus $57,925 for someone with a bachelor's degree. If the cost of attending college is assumed to be $30,000 per year for 4 years and the forgone earnings during those years are assumed to be $35,220 per year, what rate of return does earn a bachelor’s degree represent? Use a 35-year study period.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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U.S. Census Bureau statistics show that the annual earnings for persons with a high school diploma are $35*220 versus $57,925 for someone with a bachelor's degree. If the cost of attending college is assumed to be $30,000 per year for 4 years and the forgone earnings during those years are assumed to be $35,220 per year, what rate of return does earn a bachelor’s degree represent? Use a 35-year study period.
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