Question

4. Isoke's salary in 2015 is $30 000 per year. Every year her salary

is increased by 5%.
In 2016 her salary will be
30 000 x 1.05 = $31 500
In 2017 her salary will be 30 000 x 1.05 X 1.05 = $33075
In 2018 her salary will be 30 000 x 1.05 x 1.05 x 1.05 = $34728.75
And so on.
a). What will her salary be in 2019?
b) What will her salary be in 2021?

Answer 1

in 2019, $36 465.19

in 2021, $40 202.87

Explanation:

2015 is $30 000 per year

if it is increased by 5% every year

then,

in 2019, her salary will be $30 000 x (1.05)^4 = $36 465.19

in 2021, her salary will be $30 000 x (1.05)^6 = $40 202.87