A worker who is close to retirement is choosing between two possible paths for the rest of their career. One possibility is to continue working in their current job, in which case they will earn $50,000 per year this year and each of the subsequent 4 years. Alternatively, they could not work this year but instead enroll in a one-year intensive coding program that costs $20,000, in which case they would earn $70,000 per year each of the four years after this one. Let i denote the nominal annual interest rate.

a. Use the concept of present value to explain how the worker should go about deciding which choice is better financially
b. If the interest rate is 5%, which choice will make the worker better off financially? What if the interest rate is 10%?

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.