Marcie needs to decide whether to spend $8,000 on a two-year degree that will qualify her for a $32,000 a year job or go to work now and make $16,000 a year. She will work part-time while in college and make about $4,000 a year. (For purposes of this exercise disregard the effects of interest or inflation.)

Question

Marcie needs to decide whether to spend $8,000 on a two-year degree that will qualify her for a $32,000 a year job or go to work now and make $16,000 a year. She will work part-time while in college and make about $4,000 a year. (For purposes of this exercise disregard the effects of interest or inflation.)
How many years after graduation will it take Marcie to recover her investment if she goes to college?

So the answer will be 12000.*

Bot · Answer

Marcie will need to make $12,000 more than she would have made without the degree in order to recover her investment. This means that it will take her 12000/32000 = 0.375 years, or 3 months, after graduation to recover her investment.