Example of Finance Case Study Part II

Student #2 ­ Amelia

The next student in Ms. S’s office is Amelia. Amelia was quite different from Jordan. An academic superstar with lots
of extracurricular activities and leadership positions, Amelia set her sights high. She had been accepted to some of the top universities in the U.S.

Amelia:​ Ms. S, I’m so torn. I was up all last night tossing and turning. First I thought I should pick Blue University,
but then I read an article about great research being done at Charles State. And Hightower is in the top 10 of like every national ranking! Ughhhhhhhhh.

Ms. S: ​Amelia, take a deep breath. You have the best kind of problem: a lot of great choices! Let’s take a look at
some data to see if we can’t narrow it down.

Amelia: ​[Spends several minutes staring at the chart, before looking up with a confused look. She starts talking,
here are the highlights:]

● This information makes my decision much harder!
● One the one hand, I want to be close to home. On the other, I’m worried I’m giving up a great opportunity to go to schools 3,000 miles away.
● I know Charles State is cheaper because it’s a state school, and I don’t want to put too much burden on my parents.
● My parents told me I better not come home if I don’t graduate; Charles State’s graduation rate seems low. I heard the national average is 90%.
● It also looks like students have more trouble paying their student loans at Charles State; their default rate on their loans is twice as high as the other two schools.

Unlike Jordan, Amelia was very concerned about money. So, she breathed a sigh of relief when Ms. S pulled out the
financial aid numbers to go over with her.

Amelia:​ [Lets out a sigh of relief after looking at the numbers, and then responds. Here are the highlights of what
she says:]

● This really make things easier. I didn’t realize Charles State was so much cheaper than the other schools.
● I don’t know how my parents can pay $57,000 or $62,000 for my education. My Dad just lost his job and my Mom had her hours cut at work, so even a few thousand dollars is going to be tough.
● Blue University is going to cost me an extra $5,000 per year?! I don’t want to have $20,000 more in debt, that’s crazy!
● Hightower is giving me a ton of money, but I’m sure that having to fly there and back all the time will make the cost roughly equal to Charles State.
● Maybe I should rethink this and go to community college first given all this financial pressure.