Question

Your current salary is $63,420.00. If you received a 5% raise last year, what was your salary last year before

your raise?
Your salary last year was $
(if needed, round to the nearest cent - NO COMMAS).

Answer 1

$60,400

Explanation:

This year's salary is 105% of last year's salary. So if you divide last years salary by 105% or 1.05

You will get last year's salary: 63,420/1.05 = $60,400

Raise:$60,400 X 5% = $3020

So: $60,400 + $3,020 = $63,420

Answer 2

$60400

Explanation:

Let last year's salary be x.

Now, current salary = x + 5% of x

i.e. $63420 = x + 0.05x {5% = 5/100}

63420 = 1.05x

Divide both the sides by 1.05.

x = 63420 /1.05

= $60400

Hence, last year's salary was = $60400.