| Present Value of a Baruch College Degree | ||||||
| Decision Point: Immediately before start of Freshman Year | ||||||
| Expected work life =40 years. Taking 5 years for degree results in one fewer (39) working years | ||||||
| Present Value Tables | ||||||
| 3% | 8% | 3% | 8% | |||
| 3 years | single sum | 0.91514 | 0.79383 | 0.91514 | 0.79383 | |
| 3 years | ord annuity | 2.82861 | 2.5771 | 2.82861 | 2.5771 | |
| 3 years | annuity due | 2.91347 | 2.78326 | 2.91347 | 2.78326 | |
| 4 years | single sum | 0.88849 | 0.73503 | 0.88849 | 0.73503 | |
| 4 years | ord annuity | 3.7171 | 3.31213 | 3.7171 | 3.31213 | |
| 4 years | annuity due | 3.82861 | 3.5771 | 3.82861 | 3.5771 | |
| 5 years | single sum | 0.86261 | 0.68058 | 0.86261 | 0.68058 | |
| 5 years | ord annuity | 4.57971 | 3.99271 | 4.57971 | 3.99271 | |
| 5 years | annuity due | 4.7171 | 4.31213 | 4.7171 | 4.31213 | |
| 40 years | ord annuity | 23.11477 | 11.92461 | 23.11477 | 11.92461 | |
| 39 years | ord annuity | 22.80822 | 11.87858 | |||
| Time | 4 years | 4 years | 5 years | 5years | ||
| Fees | $ 5,000.00 | $ 19,143.05 | $ 17,885.50 | $ 23,585.50 | $ 21,560.65 | |
| Op Cost | $15,000.00 | $ 55,756.50 | $ 49,681.95 | $ 68,695.65 | $ 59,890.65 | |
| Incre Inc | $25,000.00 | $577,869.25 | $ 298,115.25 | $570,205.50 | $ 296,964.50 | |
| Pv IncInc | $513,431.05 | $ 219,123.65 | $491,864.97 | $ 202,108.10 | ||
| NPV | $438,531.50 | $ 151,556.20 | $399,583.82 | $ 120,656.80 | ||
| PVCost of extra year | . | $ 38,947.68 | $ 30,899.40 | |||
| Assuming student loans of $3000 per year paid back during the first working years | ||||||
| 3% | 8% | 3% | 8% | |||
| 3 years | single sum | 0.91514 | 0.79383 | 0.91514 | 0.79383 | |
| 3 years | ord annuity | 2.82861 | 2.5771 | 2.82861 | 2.5771 | |
| 3 years | annuity due | 2.91347 | 2.78326 | 2.91347 | 2.78326 | |
| 4 years | single sum | 0.88849 | 0.73503 | 0.88849 | 0.73503 | |
| 4 years | ord annuity | 3.7171 | 3.31213 | 3.7171 | 3.31213 | |
| 4 years | annuity due | 3.82861 | 3.5771 | 3.82861 | 3.5771 | |
| 5 years | single sum | 0.86261 | 0.68058 | 0.86261 | 0.68058 | |
| 5 years | ord annuity | 4.57971 | 3.99271 | 4.57971 | 3.99271 | |
| 5 years | annuity due | 4.7171 | 4.31213 | 4.7171 | 4.31213 | |
| 40 years | ord annuity | 23.11477 | 11.92461 | 23.11477 | 11.92461 | |
| 39 years | ord annuity | 22.80822 | 11.87858 | |||
| Time | 4 years | 4 years | 5 years | 5years | ||
| Fees | $ 1,000.00 | $ 3,828.61 | $ 3,577.10 | $ 4,717.10 | $ 4,312.13 | |
| Op Cost | $15,000.00 | $ 55,756.50 | $ 49,681.95 | $ 68,695.65 | $ 59,890.65 | |
| Incre Inc | $25,000.00 | $484,941.75 | $ 215,312.00 | $455,712.75 | $ 197,146.75 | |
| Payback | $21,000.00 | $ 78,059.10 | $ 69,554.73 | $ 96,173.91 | $ 83,846.91 | |
| Total | $563,000.85 | $ 284,866.73 | $551,886.66 | $ 280,993.66 | ||
| Pv IncInc | $500,220.63 | $ 209,385.59 | $476,062.95 | $ 191,238.67 | ||
| NPV | $440,635.52 | $ 156,126.54 | $402,650.20 | $ 127,035.89 | ||
| PV cost of extra year | $ 37,985.31 | $ 29,090.66 | ||||
| Present Value Tables | ||||||
| 3% | 8% | 3% | 8% | |||
| 3 years | single sum | 0.91514 | 0.79383 | 0.91514 | 0.79383 | |
| 3 years | ord annuity | 2.82861 | 2.5771 | 2.82861 | 2.5771 | |
| 3 years | annuity due | 2.91347 | 2.78326 | 2.91347 | 2.78326 | |
| 4 years | single sum | 0.88849 | 0.73503 | 0.88849 | 0.73503 | |
| 4 years | ord annuity | 3.7171 | 3.31213 | 3.7171 | 3.31213 | |
| 4 years | annuity due | 3.82861 | 3.5771 | 3.82861 | 3.5771 | |
| 5 years | single sum | 0.86261 | 0.68058 | 0.86261 | 0.68058 | |
| 5 years | ord annuity | 4.57971 | 3.99271 | 4.57971 | 3.99271 | |
| 5 years | annuity due | 4.7171 | 4.31213 | 4.7171 | 4.31213 | |
| 40 years | ord annuity | 23.11477 | 11.92461 | 23.11477 | 11.92461 | |
| 39 years | ord annuity | 22.80822 | 11.87858 | |||
| Time | 4 years | 4 years | 5 years | 5years | ||
| Fees | $ 5,000.00 | $ 19,143.05 | $ 17,885.50 | $ 23,585.50 | $ 21,560.65 | |
| Op Cost | $15,000.00 | $ 55,756.50 | $ 49,681.95 | $ 68,695.65 | $ 59,890.65 | |
| Incre Inc | $25,000.00 | $577,869.25 | $ 298,115.25 | $570,205.50 | $ 296,964.50 | |
| Pv IncInc | $513,431.05 | $ 219,123.65 | $491,864.97 | $ 202,108.10 | ||
| NPV | $438,531.50 | $ 151,556.20 | $399,583.82 | $ 120,656.80 | ||
| PV cost of extra year | $ 38,947.68 | $ 30,899.40 | ||||
| Assuming student loans of $3000 per year paid back during the first working years | ||||||
| 3% | 8% | 3% | 8% | |||
| 3 years | single sum | 0.91514 | 0.79383 | 0.91514 | 0.79383 | |
| 3 years | ord annuity | 2.82861 | 2.5771 | 2.82861 | 2.5771 | |
| 3 years | annuity due | 2.91347 | 2.78326 | 2.91347 | 2.78326 | |
| 4 years | single sum | 0.88849 | 0.73503 | 0.88849 | 0.73503 | |
| 4 years | ord annuity | 3.7171 | 3.31213 | 3.7171 | 3.31213 | |
| 4 years | annuity due | 3.82861 | 3.5771 | 3.82861 | 3.5771 | |
| 5 years | single sum | 0.86261 | 0.68058 | 0.86261 | 0.68058 | |
| 5 years | ord annuity | 4.57971 | 3.99271 | 4.57971 | 3.99271 | |
| 5 years | annuity due | 4.7171 | 4.31213 | 4.7171 | 4.31213 | |
| 40 years | ord annuity | 23.11477 | 11.92461 | 23.11477 | 11.92461 | |
| 39 years | ord annuity | 22.80822 | 11.87858 | |||
| Time | 4 years | 4 years | 5 years | 5years | ||
| Fees | $ 1,000.00 | $ 3,828.61 | $ 3,577.10 | $ 4,717.10 | $ 4,312.13 | |
| Op Cost | $15,000.00 | $ 55,756.50 | $ 49,681.95 | $ 68,695.65 | $ 59,890.65 | |
| Incre Inc | $25,000.00 | $484,941.75 | $ 215,312.00 | $455,712.75 | $ 197,146.75 | |
| Payback | $21,000.00 | $ 78,059.10 | $ 69,554.73 | $ 96,173.91 | $ 83,846.91 | |
| Total | $563,000.85 | $ 284,866.73 | $551,886.66 | $ 280,993.66 | ||
| Pv IncInc | $500,220.63 | $ 209,385.59 | $476,062.95 | $ 191,238.67 | ||
| NPV | $440,635.52 | $ 156,126.54 | $402,650.20 | $ 127,035.89 | ||
| PV cost of extra year | $ 37,985.31 | $ 29,090.66 | ||||