2. Investment Payback Period. Cynthia would also consider returning to school to earn a graduate degree in nursing on a full-time basis in 2 years, with only a small seasonal job for additional income. She currently earns $48,000 per year as a nursing administrator. A seasonal job while attending school full time should earn her $5,000 per year. She will use student loans to fund the costs each year of tuition, expected to be $22,000 for a full-time student, and will have an additional $2,000 per year in household expense loans on her credit card. Cynthia believes she can increase her income by $24,000 per year after graduation. Use an investment payback table to determine Cynthias Investment Payback Period.

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Work:

Investment Payback Period
Expense Item	Amount
Lost-Income
Household Expense Loans
College Tuition, books and fees
Total Costs
Increase in Income
Payback Period

1. Compound Growth