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Suppose tuition at a community college is $5,000 per year, workers with an associate degree from a two-year community college earn $20,000 per year, and

Suppose tuition at a community college is $5,000 per year, workers with an associate degree from a two-year community college earn $20,000 per year, and the annual interest rate is 10 percent. Use Equation 6.1 (withN= 2) to compute the present value (in the first year of community college) of two years in community college followed by one year of work.

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