Using the Starting Salary Data from Table 3 $\text { Bachelors Degrees }$

question 28

Short Answer

Using the starting salary data from Table 3.3, and assuming an annual increase at the current cost of living index (currently about 2%), calculate what you could expect to receive as a starting salary in your chosen field of study if you graduate three years from now. $\text { Bachelors Degrees }$
$\begin{array}{|l|l|l|l|l|l|}\hline \text { Curriculum } & \begin{array}{c}2013 \\\text { Avg }\end{array} & 2017 & 2018 & 2019 & 2020 \\\hline \text { Aerospace } & 64,400 & 69,709 & 71,103 & 72,525 & 73,975 \\\hline \begin{array}{l}\text { Bioengineering \& } \\\text { Biomedical }\end{array} & 47,300 & 51,200 & 52,223 & 54,333&53,267 \\\hline \text { Chemical } & 67,600 & 73,172 & 74,636 &76,129 & 77,651 \\\hline \text { Civil } & 57,300 & 62,023 & 63,263 & 64,528 & 65,819 \\\hline \text { Computer Engr. } & 71,700 & 77,610 & 79,162 & 80,745 & 82,360 \\\hline \text { Computer Sci. } & 64,800 & 70,142 & 71,544 & 72,975 & 74,435 \\\hline \begin{array}{l}\text { Electrical \& } \\\text { Electronic }\end{array} & 63,400 & 68,626 & 70,000 & 71,397 & 72,827 \\\hline \begin{array}{l}\text { Industrial / } \\\text { Manufacturing }\end{array} & 56,300 & 60,941 & 62,160 & 63,403 & 64,671 \\\hline \text { Mechanical } & 64,000 & 69,276 & 70,661 & 72,047 & 73,516 \\\hline \text { Petroleum } & 93,500 & \begin{array}{c}101,20 \\7\end{array} & \begin{array}{c}103,23 \\1\end{array} & \begin{array}{c}105,29 \\6\end{array} & \begin{array}{c}107,40 \\2\end{array} \\\hline\end{array}$

$\text { Masters Degrees }$
$\begin{array}{|l|c|c|c|c|c|}\hline \text { Computer Sci. } & 74,200 & 80,316 & 81,923 & 83,561 & 85,232 \\\hline \begin{array}{l}\text { Electrical \& } \\\text { Electronic }\end{array} & 67,200 & 72,739 & 74,194 & 75,678 & 77,192 \\\hline \text { Mechanical } & 67,900 & 73,497 & 74,967 & 76,466 & 77,996 \\\hline\end{array}$

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Definitions:

Depreciation Expense

The methodical distribution of the expense of a physical asset across its lifespan, representing its depreciation or loss of value due to aging or becoming outdated.

Straight-Line Method

A technique for computing depreciation or amortization by uniformly distributing an asset's cost throughout its expected lifespan.

Initial Value Method

An accounting technique where investments are recorded at their acquisition cost, without subsequent adjustments for market fluctuations.

Consolidation Entry *G

An alternative expression for consolidation entry G, focusing on eliminating intercompany transactions and balances when preparing consolidated financial statements.