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Please read the Closing Case at the end of Chapter 4 ” The MBA decision”.
Answer the following questions:
1)How does Ben’s age affect his decision to get an MBA?
2)What other, perhaps nonquantifiable factors, affect Ben’s decision to get an MBA?
3)Assuming all salaries are paid at the end of each year, what is the best option for Ben—from a strictly financial standpoint?
4) In choosing between the two schools, Ben believes that the appropriate analysis is to calculate the future value of each option. How would you evaluate this statement?
5) Suppose that instead of being able to pay cash for his MBA, Ben must borrow the money. The current borrowing rate is 5.4 percent. How would this affect his decision to get an MBA?

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