Gianina McManus

BUS629 – Financial Budgeting, Forecasting & Analysis

Week 3 – Discussion 1 –Present Net Value of University Costs Scenario
By pursuing an MBA,  I can expand my professional network and meet like-minded
businessmen and women with who I can interact and share ideas in the future. Pursuing
an MBA will be an added advantage when I seek employment, as most employers
require most employees to be holders of an MBA or other post-graduate degrees
(Hayes, 2021). I will also gain a great bulk of knowledge about the global market. This
will, in turn, help me make sound decisions when it comes to financial matters. I will also
improve my communication skills by pursuing the course. This is because a core part of
the course is communicating my ideas with corporate fellows. My time management
skills shall also improve by pursuing the course since I shall be committed to
succeeding, and thus, I shall manage my time wisely to succeed. It is worth saying that
pursuing my MBA is a sound financial investment.
The cost of my MBA with the University of Arizona global campus is about $30,000. My
organization partners with the UAGC with a grant partnership, an excellent opportunity
for my fellow team members and me to participate in the tuition reimbursement
program. 
Interest=(30,000×20×10)/100
Interest=60,000
Therefore, the Financial investment after I achieve my MBA will be;
=Principal+interest made
=60,000+30,000=90,000
It is therefore worth the financial investment.
Due to my company’s tuition reimbursement policy, I do not have a financial investment,
but I do have a time investment, and it is completely worth it for me to pursue my MBA.
My organization also benefits greatly since my education is being applied to my current
role and hopefully my future roles within the organization.
References:
Hayes, A. (2021, December 7). When is an MBA worth it? Investopedia. Retrieved
December 29, 2021, from https://www.investopedia.com/articles/personal-finance/011415/when-
mba-worth-it.asp#:~:text=An%20MBA%20is%20only%20worth,MBA%20degrees%20are%20created
%20equal.
COLLAPSE SUBDISCUSSIONJodi Johnson
Jodi Johnson
Jan 2, 2022Jan 2 at 1:49pm
Manage Discussion Entry
The company I work for partners with various colleges to help employees pay to further
their education.  There are varying levels of financial help from my company depending
on the school, degree type, and major.  For my MBA, my company is paying the total
cost.  If I were paying out of pocket the rough estimate of this degree would be
$51,525.  To calculate whether this degree is worth the financial commitment, I will
solve for the NPV, net present value.
NPV= (P/(1+i)t ) – Initial investment (Block 2019)
(60,000/(1+15%)) – 51,525 = 648 (20 years) $12,960
Currently, if I was making $60,000 the investment of 51,525 would help me earn, in a
mid-level management job, an additional $12,960 over the course of 20 years.
Upon graduation, assuming an MBA earned a 15% pay increase the NPV would reflect
the following:
(80,000/1+15%)) -51,525 = 18,040 (20 years) $360,800
The 15% increase would change the overall expected income to increase enough to
make the financial investment worth it. 
Since my company is paying the financial cost, the only thing I have invested is my
time.  I am lucky enough to have support at work and home, to help ensure I have the
time to dedicate to studying and completing assignments.  I have also been promoted,
half way to complete my MBA.  For these reasons, the time commitment is also worth it,
to gain my MBA.
Block, S. B., Hirt, G. A., & Danielsen, B. R. (2019). Foundations of financial
management (17th ed.). McGraw-Hill Higher Education.