James has a job with a current salary of $42,000. He wants to earn a college degree that will take him 2 years to complete and it will cost $28,000 per year. He will go to school full time and will not be able to work. Upon graduation, James' new salary will be $56,000 per year. How many years will it take James to recover his investment?

James’s total investment includes both tuition and the salary he gives up while studying: $28,000 × 2 + $42,000 × 2 = $140,000. After graduating, he earns $56,000 − $42,000 = $14,000 more per year than before. It takes $140,000 ÷ $14,000 = 10 years to recover his investment, so the correct choice is “10 years.”

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