Question

In 2015, the minimum wage according to federal law was 7.25 per hour. Increasing minimum wage to 8 per hour (approximately a 10

1) 0.75
2) 0.80
3) 0.85
4) 0.90

Answer 1

The federal minimum wage increase from $7.25 to $8.00 is slightly over a 10% increase, equating to 10.34%, which means the closest match is an increase of $0.75. Option a is the correct answer.

Step-by-step explanation:

The question is about the increase in the federal minimum wage from $7.25 to $8.00 per hour and asks to calculate the percentage increase. To find the percentage increase, we subtract the old wage from the new wage and then divide by the old wage.

After multiplication by 100, we get the percentage. Therefore, the increase of $0.75 when calculated as a percentage of $7.25 is approximately 10.34%:

Percentage Increase = (($8.00 - $7.25) ÷ $7.25) × 100 = (0.75 ÷ 7.25) × 100 ≈ 10.34%

This calculation shows that an increase of the minimum wage from $7.25 to $8.00 per hour is slightly more than a 10% increase, which would make option 1) the closest match at 0.75.