Introduction of the Project:
In this project, we were simply finding out whether or not college would be worth the price. We took into account many of the variables necessary to find that out, such as tuition and fees and food and travel expenses. We utilized Microsoft Excel to determine what the price of tuition and fees is going to be during the four years we're in college. After that, we took into account all of the other factors, and using a cost/benefit analysis format, calculated whether or not college would be worth it. I’m leaning toward Colorado State University in Fort Collins as my college of choice. It’s an in-state college, of course, and is public. When I was narrowing down my choices for college, I decided that, with money and residency in mind, that I should choose an in-state institution. In Colorado, too, I know about a lot of different offered colleges. CSU seemed like a nice place to go, especially for my field of interest. And, as it turns out, attending CSU will most likely be something that's more than worth the cost. I hope to be a biomedical engineer some day. Another one of my top choices was the University of Colorado (CU). I have a few cousins that go there, and it provides for a great campus. But I chose CSU over the others, because it fits well for a tight budget in comparison to CU, and I feel like that is important to consider when planning on repayment of loans after college.
Mathematical Computations
1) The R 2 correlation coefficient represents how close the trend line is to the variable points. In other words, it is the accuracy of the line. The closer the correlation coefficient is to the number (1), the more accurate the trend line is to all of the various points. The equation for the Cost of tuition and fees for CSU is: The R 2 correlation is: .97489. The equation for the Cost of tuition and fees for CU is: . The R 2 correlation is: .99253
2) The average of the average percent increase over the past 10 years for CSU is 8%, while the average of the average percent increase over the past 10 years for CU is 9%. I think the fact that both colleges have very similar averages in this area (only a difference of 1) is in direct relation to the fact that they are both public schools, because the average percent increase in tuition and fees for private colleges tends to be less than that of public colleges.
3) My anticipated average tuition percent increase for my entire undergraduate career at CSU is about a 5% increase. At CU, I believe that it will be, as well, a 5% increase.
4) At CSU, the tuition increased the most between the years 2006 and 2007. I believe this is a result of the economic slowdown in 2006, as residential housing boom ended (The U.S. Economy in Review). At CU, the tuition increased the most between the years 2005 and 2006. I think this may be because of, again, a slowdown in US economy that year (Porter).
5) The total tuition cost for an undergraduate degree at CSU would be about $36,739.13. The total tuition and fees cost would be about $40,784.99 at CSU. The total tuition cost for an undergraduate degree at CU would be about $42,881.70, while the total tuition and fees cost for an undergraduate 4-year degree would be about $50,588.78.
7) CSU:
Standard fixed repayment (120 months): $469.36/month for a total of $56,323.20 = $15,537.61 in interest. Loaned amount: $40,784.99
Extended fixed repayment (300 months): $283.08/month for a total of $84,923.17 = $44,138.18 in interest. Loaned amount: $40,784.99
Standard graduated repayment (120 months): $270.73/month for a total of $60,605.97 = $19,820.98 in interest. Loaned amount: $40,784.99
Extended graduated repayment (300 months): $231.11/month for a total of $91,983.06 = $51,198.07 in interest. Loaned amount: $40,784.99
CU:
Standard fixed repayment (120 months): $582.18/month for a total of $69,861.28 = $19,272.50 in interest. Loaned amount: $50,588.78
Extended fixed repayment (300 months): $351.12/month for a total of $105,336.78 = $54,748 in interest. Loaned amount: $50,588.78
Standard graduated repayment (120 months): $335.81/ first month for a total of $75,174.18 = $24,585.40 in interest. Loaned amount: $50,588.78
Extended graduated repayment (300 months): $286.67/first month for a total of $114,089.32 = $63,500.54 in interest. Loaned amount: $50,588.78
9) CSU:
Standard Graduated function: y = 65.152x + 146.73
Standard Fixed function: y = 469.36
Extended Graduated function: y = 7.1169x + 214.13
Extended Fixed function: y = 283.08
CU:
Standard Graduated function: y = 80.814x + 182
Standard Fixed function: y = 582.18
Extended Graduated function: y = 8.8266x + 265.61
Extended Fixed function: y = 351.12
10) Colorado State University would be the least expensive. In tuition and fees, as compared to CU, I would save $9,803.79. The difference in interest I would need to pay between the two colleges is: $3,734.89 (Standard Fixed), $10,645.82 (Extended Fixed), $4,764.42 (Standard Graduated), and $12,302.47 (Extended Graduated). The difference in overall money paid back to the government would be: $13,538.08 (Standard Fixed), $20,413.61 (Extended Fixed), $14,568.21 (Standard Graduated), and $22,106.26 (Extended Graduated).
2) The average of the average percent increase over the past 10 years for CSU is 8%, while the average of the average percent increase over the past 10 years for CU is 9%. I think the fact that both colleges have very similar averages in this area (only a difference of 1) is in direct relation to the fact that they are both public schools, because the average percent increase in tuition and fees for private colleges tends to be less than that of public colleges.
3) My anticipated average tuition percent increase for my entire undergraduate career at CSU is about a 5% increase. At CU, I believe that it will be, as well, a 5% increase.
4) At CSU, the tuition increased the most between the years 2006 and 2007. I believe this is a result of the economic slowdown in 2006, as residential housing boom ended (The U.S. Economy in Review). At CU, the tuition increased the most between the years 2005 and 2006. I think this may be because of, again, a slowdown in US economy that year (Porter).
5) The total tuition cost for an undergraduate degree at CSU would be about $36,739.13. The total tuition and fees cost would be about $40,784.99 at CSU. The total tuition cost for an undergraduate degree at CU would be about $42,881.70, while the total tuition and fees cost for an undergraduate 4-year degree would be about $50,588.78.
7) CSU:
Standard fixed repayment (120 months): $469.36/month for a total of $56,323.20 = $15,537.61 in interest. Loaned amount: $40,784.99
Extended fixed repayment (300 months): $283.08/month for a total of $84,923.17 = $44,138.18 in interest. Loaned amount: $40,784.99
Standard graduated repayment (120 months): $270.73/month for a total of $60,605.97 = $19,820.98 in interest. Loaned amount: $40,784.99
Extended graduated repayment (300 months): $231.11/month for a total of $91,983.06 = $51,198.07 in interest. Loaned amount: $40,784.99
CU:
Standard fixed repayment (120 months): $582.18/month for a total of $69,861.28 = $19,272.50 in interest. Loaned amount: $50,588.78
Extended fixed repayment (300 months): $351.12/month for a total of $105,336.78 = $54,748 in interest. Loaned amount: $50,588.78
Standard graduated repayment (120 months): $335.81/ first month for a total of $75,174.18 = $24,585.40 in interest. Loaned amount: $50,588.78
Extended graduated repayment (300 months): $286.67/first month for a total of $114,089.32 = $63,500.54 in interest. Loaned amount: $50,588.78
9) CSU:
Standard Graduated function: y = 65.152x + 146.73
Standard Fixed function: y = 469.36
Extended Graduated function: y = 7.1169x + 214.13
Extended Fixed function: y = 283.08
CU:
Standard Graduated function: y = 80.814x + 182
Standard Fixed function: y = 582.18
Extended Graduated function: y = 8.8266x + 265.61
Extended Fixed function: y = 351.12
10) Colorado State University would be the least expensive. In tuition and fees, as compared to CU, I would save $9,803.79. The difference in interest I would need to pay between the two colleges is: $3,734.89 (Standard Fixed), $10,645.82 (Extended Fixed), $4,764.42 (Standard Graduated), and $12,302.47 (Extended Graduated). The difference in overall money paid back to the government would be: $13,538.08 (Standard Fixed), $20,413.61 (Extended Fixed), $14,568.21 (Standard Graduated), and $22,106.26 (Extended Graduated).
The Price of College Graphs and Data:
Cost/Benefit Analysis (CSU):
Costs (Monetary):
· Tuition & Fees for all 4 years at CSU + interest: $60,605.97
· Room and Board: $10,776.00
· Textbooks: (w/ potential use of craigslist for discount)= $1,840.00
· Meal plan: ($449/year*4)= $1,796.00
· Eating out money: $500.00
· Flying/Traveling money: (Durango-Fort Collins= 396.3 miles @ 22mpg (’95 Toyota t100)= 16.79 gallons/trip @ $3.21/gallon= $54.47/trip*4 trips= $217.89/year*4 years)= $871.58
· Extra food money: ($1,000/year*4)= $4,000.00
Costs (non-Monetary):
· New environment: ($1,000/first year*1)= $1,000.00
· Boredom: ($1,500/year*4)= $6,000.00
· Homesickness: ($100/year*4)= $400.00
· Stress: ($3,000/year*4)= $12,000.00
· Peer pressure: ($1,000/year*4)= $4,000.00
· Guitar players: ($150/year*4)= $600.00
· Work: ($2,000/year*4)= $8,000.00
Total Costs: $110,589.55
Benefits (Monetary):
· Getting a job: ($57,492.00/year*5)= $287,460.00
· Spend less on eating out: ($700/year*4)= $2,800.00
· Friends can take me out for food ($1,000/year*4)= $4,000
· Knowledge to make more financially beneficial decisions: ($15,000/year*5)= $75,000.00
· Employer-provided healthcare coverage: (About 12,000/year*5 years)= $60,000.00
Benefits (non-Monetary):
· No parents: ($200/month*9 months*4 years)= $7,200.00
· Education: ($400/month*9 months*4 years)= $14,400.00
· Girls: ($350/month*12 months*4 years)= $16,800.00
· Maturity: ($100/month*12 months*9 years)= $10,800.00
· Respect: ($10/month*12 months*9 years)= $1,080.00
· Parties: ($200/month*9 months*4 years)= $7,200.00
· Beautiful campuses: ($150/month*9 months*4 years)= $5,400.00
Total Benefits: $492,140.00 5 years prior to college
· Tuition & Fees for all 4 years at CSU + interest: $60,605.97
· Room and Board: $10,776.00
· Textbooks: (w/ potential use of craigslist for discount)= $1,840.00
· Meal plan: ($449/year*4)= $1,796.00
· Eating out money: $500.00
· Flying/Traveling money: (Durango-Fort Collins= 396.3 miles @ 22mpg (’95 Toyota t100)= 16.79 gallons/trip @ $3.21/gallon= $54.47/trip*4 trips= $217.89/year*4 years)= $871.58
· Extra food money: ($1,000/year*4)= $4,000.00
Costs (non-Monetary):
· New environment: ($1,000/first year*1)= $1,000.00
· Boredom: ($1,500/year*4)= $6,000.00
· Homesickness: ($100/year*4)= $400.00
· Stress: ($3,000/year*4)= $12,000.00
· Peer pressure: ($1,000/year*4)= $4,000.00
· Guitar players: ($150/year*4)= $600.00
· Work: ($2,000/year*4)= $8,000.00
Total Costs: $110,589.55
Benefits (Monetary):
· Getting a job: ($57,492.00/year*5)= $287,460.00
· Spend less on eating out: ($700/year*4)= $2,800.00
· Friends can take me out for food ($1,000/year*4)= $4,000
· Knowledge to make more financially beneficial decisions: ($15,000/year*5)= $75,000.00
· Employer-provided healthcare coverage: (About 12,000/year*5 years)= $60,000.00
Benefits (non-Monetary):
· No parents: ($200/month*9 months*4 years)= $7,200.00
· Education: ($400/month*9 months*4 years)= $14,400.00
· Girls: ($350/month*12 months*4 years)= $16,800.00
· Maturity: ($100/month*12 months*9 years)= $10,800.00
· Respect: ($10/month*12 months*9 years)= $1,080.00
· Parties: ($200/month*9 months*4 years)= $7,200.00
· Beautiful campuses: ($150/month*9 months*4 years)= $5,400.00
Total Benefits: $492,140.00 5 years prior to college
