Question

Today, you earn a salary of $31,000. What will be your annual salary ten years from now if you receive annual raises of 2.2 percent

Answer 1

Answer:

Salary 10 years from now = $38,536.36

Explanation:

given data

Current salary = $31,000

Growth rate = 2.20%  = 0.022

time = 10 year

solution

we get here Salary 10 years from now will be express as

Salary 10 years from now = Current salary ×  $(1+growth\ period)^{time}$  ...................1

put here value we get

Salary 10 years from now = $31,000  ×   $(1+0.022)^{10}$

Salary 10 years from now = $31,000 × 1.2431

Salary 10 years from now = $38,536.36