You have taken a product management position within a major consumer goods firm after graduation. The contract is for four years and your compensation package is as follows:

• $5,000 relocation expense

• $55,000 annual wage

• $10,000 bonus if annual goals are met

• $15,000 additional bonus at the end of four years if your team achieves a given market share

You are confident in your abilities and assume there is a 65% chance in receiving each annual bonus and a 75% chance in receiving the fourth year additional bonus.

The effective annual interest rate is 8.5% .

What is the net present value of your compensation package.