Finally, somewhere on your sheet (i.e. columns H, I) include the sum total of the present value of noncollege and the present value of college. If you did all steps correctly, you should get Present Value of NonCollege to be 450,984.46 and the Present Value of College 505,667.91.

Copy your sheet and make a new excel sheet labeled "Sheet A".

Repeat the exercise in Sheet A with the following changes:

Each year of college still costs $15,000 and each year of post-college work still pays $60,000, but each year of non-college work now pays $40,000.

how do i calculate the period's present value?

This exercise has you uploading an excel file. A high school graduate has to decide between working and going to college. If he works, he will work for the next 50 years of his life. If he goes to college, he will be in college for 5 years, and then work for 45 years. In this model, the rate of discount that equates the lifetime present value of not going to college and going to college is 8.24% when the cost of each year of college is $15,000, each year of non-college work pays $35,000, and each year of post-college work pays $60,000. Set up an excel Sheet 1" with the following information in Column A: age Column B: noncollege work Column C: college work Column D: Present Value of Noncollege (Each Period) Column E: Present Value of College (Each Period) In column A. have the ages span from ages 18-67. (Alternatively, you can have ages be 0 to 49). in column B, the salary is $35,000 In column C, the cost for college is -$15,000 for ages 18-21. Beginning at age 22, the worker makes $60,000. In column D and E. calculate the period's present value. If ke the following This exercise has you uploading an excel file. A high school graduate has to decide between working and going to college. If he works, he will work for the next 50 years of his life. If he goes to college, he will be in college for 5 years, and then work for 45 years. In this model the rate of discount that equates the lifetime present value of not going to college and going to college is 8.24% when the cost of each year of college is $15,000, each year of non-college work pays $35,000, and each year of post-college work pays $60,000. Set up an excel Sheet 1" with the following information in Calumn Aage Column B: noncollege work Column C: college work Column D: Present Value of Noncollege (Each Period) Column E: Present Value of College (Each Period) In column A, have the ages span from ages 18-67. (Alternatively, you can have ages be 0 to 49). In column B, the salary is $35,000 In column C, the cost for college is -$15,000 for ages 18-21. Beginning at age 22, the worker makes $60,000. In column D and E, calculate the period's present value. If you did everything correctly, your excel file should look like the following AutoSavon exical worksheet O Search