Question

Raheem was offered two different jobs as a webmaster. Each job had different starting annual salaries and different increases each year. The table shows the salaries for the first few years. Use this information to answer questions 7 and 8. Year I 1 Job A $30,000.00 $30,660.00 $31,334.52 Job B $24,000.00 $25,080.00 $26,209.00 2 3 7. What is the annual salary for Job A in the 5th year? 8. What is the annual salary for Job B in the 5th year?​

Answer 1

$32,728.40 and $28,620.45

Explanation:

in order to find out the increase, you need to divide 30,660 by 30,000. This equals 1.022 which means that the salary is increasing by 2.2% Year over Year (YOY). Since 31,334.52 is only the 3rd year, you must multiple that by 1.022 to find out the 4th year salary and then again to find the 5th year salary.

For Job B, follow the same method. 25,080 is an increase of 4.5% over 24,000. So multiply 26,209.00 by 1.045 for the 4th year salary and then again for the 5th year salary. This equals $28,260.45