Floyd is now working in a job that pays ($28),000 per year. He is contemplating a one-year

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Floyd is now working in a job that pays \($28\),000 per year. He is contemplating a one-year automobile mechanics course that costs \($1\),000 for books and tuition. Floyd estimates that the course will increase his income to \($33\),000 in each of the three years following completion of the course. At the end of those three years, Floyd plans to retire to a commune in Boulder, Colorado. The current interest rate is 10 percent. Is it economically rational for Floyd to enroll in the course?

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Contemporary Labor Economics

ISBN: 9781260570625

12th Edition

Authors: Campbell McConnell, Stanley Brue, David Macpherson

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