Objective: Currently-employed retail customer service representative seeks employers approval to obtain a Customer Service Specialist certification from Action Systems, Inc. by completing an intensive sales and customer relations program over the next three months on a full-time basis. Please answer the questions below and show your work.

What is the Net Present Value to the company of sponsoring the professional in obtaining this license based on the assumptions below?

Does the Net Present Value support the decision to put the employee into this program? Please put an X next to the right answer. YES _________ NO _________

ASSUMPTIONS Direct costs Tuition, fees, materials and two weekend conferences totaling $18,500

Indirect costs Lost earnings while participating in program totaling $33,000

Interest rate 2%

Expected increased productivity (from sales and improved service) upon completion of program Period (Year) 1 - $11,000 Period (Year) 2 - $14,000 Period (Year) 3 - $16,000 Period (Year) 4 - $15,000