John is trying to decide if he should attend college or not. Part of his decision will be based on the return on investment of college. He estimates that the per year cost to attend Texas Tech including room and board is $24,044. He also assumes tuitions costs will rise by 6% per year. How much is a 4 year degree going to cost John?

John recognizes that not only will he have the costs of attending school but he will also be giving up a salary while he attends school. He figures the average salary for those with only a high school diploma is $33,176. He assumes he would receive a 3% cost of living raise each year. Determine how much money he will forgo while attending school.

To help him determine if it really is worth it to get a college education John wants to see what the return on investment (ROI) will be 20 years after graduation. After some research John discovers that for his career choice he can expect to earn $1.6 million with a degree and $809,000 without one. What is Johns 20 year ROI?