Companies often invest in training their employees to raise their productivity. Economists sometimes wonder why companies spend money on training employees when this incentivizes other companies to poach their employees with higher salaries since the employees gain human capital from training.

Imagine it costs a company 25,000 dollars to teach their employees Python, but it also raises their output by 2,500 dollars per month. The company discounts the future at rate of =0.01r=0.01 per month.

a. For how many full months does an employee need to stay at a company for that company to make a profit for paying for their employees Python training?

b. Imagine that 3/4 of the employees stay for 8 months and 1/4 of the employees stay for 24 months. Is it worth it for the company to invest in employee Python training?