At age 40, Joe is considering quitting his job and going back for a college degree. He needs two more years full-time. Tuition is $10,000 per year. He earns $30,000 per year. A college degree would raise his annual income by $10,000 per year. He will retire at age 70. From an investment standpoint, Joe will go back full-time if
A) 10,000 ×
= 40,000 ×
.
B) 10,000/r > 10,000 ×
.
C) 10,000 ×
> 40,000 ×
.
D) 10,000 ×
> 40,000 ×
.
Correct Answer:
Verified
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