QUESTION IMAGE
Question
a student is accepted to a well - respected, but expensive, university. attending the university will require the student to take out a large student loan. what is an expected long - term advantage of at
a. improved personal credit score
b. guaranteed post - college employment
c. reduced federal income tax burden
d. greater lifetime earning potential
Brief Explanations
- Option A: Taking a large student loan and potentially having debt doesn't improve credit score; in fact, mismanaging loans can harm it.
- Option B: No college, even a well - respected one, guarantees post - college employment. Employment depends on many factors like skills, market conditions, etc.
- Option C: Student loans don't directly lead to a reduced federal income tax burden. Tax benefits for education are usually related to tuition payments (in some cases) or loan interest deductions which are not a "reduced burden" in the sense of this option's implication, and not a long - term advantage of attending the college via taking a loan.
- Option D: Attending a well - respected university, even with a large student loan, often leads to better career opportunities and thus greater lifetime earning potential as the degree from a good university can open doors to higher - paying jobs.
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D. greater lifetime earning potential