Question

Help me please and thank you.Answer choices: “Yes, they would be back to their original salary”.“No, they would not be back to their original salary”.

Answer 1

Given that:

- The person's salary was reduced by 3%.

- The next year the person is given a 3% raise.

- The salary that was reduced was $40,000.

A percentage can be converted to a decimal number by dividing it by 100. Then:

`3\text{\%}=(3)/(100)=0.03`

If $40,000 was decreased by 3%, the new salary would be:

`\text{ \$}40,000-(0.03)(\text{\$}40,000)=\text{\$}38,800`

You know that the next year that new salary is increased by 3%. Then, you can determine that the new salary for this year is:

`\text{ \$}38,800+(0.03)(\text{\$}38,800)=\text{\$}39,964`

Notice that:

`\text{\$}40,000\\e\text{\$}39,964`

Hence, the answers are:

- If one's salary is $40,000 and decreased by 3% the salary would be:

`\text{\$}38,800`

- If they were then given a 3% increase the following year they would have:

`\text{\$}39,964`

- Second option.