MindTap for Garman/Forgue's Personal Finance Tax Update, 13th Edition [Instant Access], 1 term
MindTap for Garman/Forgue's Personal Finance Tax Update, 13th Edition [Instant Access], 1 term
13th Edition
ISBN: 9780357438886
Author: GARMAN, E. Thomas, Forgue, Raymond
Publisher: Cengage Learning US
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Chapter 2, Problem 3FPC
Summary Introduction

Case summary: Ms. J has been undergoing a severe career crisis with the loss of her position as a professional engineer due to the loss of government contracts. As a result, she has to take up a position in the marketing department which seems to be completely out of her desired career path. The job pays more but requires considerable amount of travel. Ms. J wants to make a decision between taking up the new job and making it a personal commitment and to do it for a period of one year or else seeking a new engineering job in the same company or in a different company.

Characters in the case : Ms. J

Adequate information: The individual has two options left, to take up the new job and make it a personal commitment and do it for a period of one year or else seek a new engineering job in the same company or in a different company.

To determine: The way to decide on different career plans.

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(a) The variables have been stripped of their names. Which one do you think is "household income" ?(b) Calculate the mean, median, and standard deviation of household income. Do these numbers fit with your expectations?   (c) Suppose you have two histograms: one where the mean equals the median, and one where the mean is different from the median. How would you expect the two histograms to differ?
Janet Foster bought a computer and printer at Computerland. The printer had a $860 list price with a $100 trade discount and 210210 , n30n30 terms. The computer had a $4,020 list price with a 25% trade discount but no cash discount. On the computer, Computerland offered Janet the choice of (1) paying $150 per month for 17 months with the 18th payment paying the remainder of the balance or (2) paying 6% interest for 18 months in equal payments. Assume Janet could borrow the money for the printer at 6% to take advantage of the cash discount. How much would Janet save? Note: Use 360 days a year. Round your answer to the nearest cent.
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