Question

Jeremy is thinking about attending college. However, he knows that he could get a job right out of high school making about $18,000 a year. He could also work part time while attending four years of college and make $7,000 a year. Assuming grants will pay for his college, how long will it take Jeremy to recover his lost wages if he chooses to go to college and will make $40,000 a year with his degree?

Answer 1

He will make $18 000 - $7 000 less during 4 years
thati is 4 times $11 000 = $44 000 in total
After college he will earn $40 000 instead of $18 000
That is $22 000 more
So in 2 years he will have recovered