Quynh Anh is going to graduate from NEU with a finance undergraduate next year. She plans to study MSc right after her graduation. After examining schools, she has narrow her choice to P University and C University in New York.

At P University, the MSc requires 2 years of full-time enrollment with annual tuition of $43,986. Books and other supplies are estimated to cost $800 per year. Room and board expenses will cost $18,640 per year. C University offers an accelerated one-year program, with a tuition cost of $102,853. Books and other supplies for the program are expected to cost $330. Room and board expenses will cost $18,300. Both schools offer a health insurance plan that will cost $675 per year.

All expense are payable at the beginning of the year. The appropriate rate is 8%.

a. What is the better option for Quynh Anh from a strictly financial standpoint ?

b. Assuming that Quynh Anh is able to stay and work in NY. After graduation from P, Quynh Anh will receive a job offer for $40,000 is annual salary, increasing at 3,5% per year. Her average tax rate at this level will be 20%. On the other hand, if Quynh Anh graduated from C, she will receive an offer of $39,000 per year. The salary of this job will increase 4% per year, and her average income tax rate will be 18%. How would these information affects her decision, given that she is able to work for 38 years after her graduation at NEU, and all salaries are paid at the end of the year?