Question

Stu takes a job with a starting salary of $65,000 for the first year. he earns a 2% increase each year. to the nearest dollar, how much does stu make over the first five years? $325,000 $331,500 $338,263 $358,826

Answer 1

$338,263

Explanation:

first year stays the same, then multiply the years salary x 1.02 for the following years

year 1 = $65000

year 2 = 66300

year 3 = 67626

year 4 = 68978.52

year 5 = 70358.09

total for 5 years = $338262.61

rounded to 338,263.