The salary of Perry if inflation is 6.5 % is $ 32617.475
Solution:
Given that,
Perry made $34,885 this year
The inflation rate was 6.5 percent
To find: Salary worth if inflation rate was 6.5 percent
From given,
Inflation rate = 6.5%
Therefore,
Worth of salary due to inflation = 100 % - 6.5 % = 93.5 %
Money earned in this year by Perry = $ 34, 885
Therefore,
Worth of Perry salary due to inflation = 34,885 x 93.5%
[tex]\text{Worth of Perry salary due to inflation }= 34885 \times \frac{93.5}{100}\\\\\text{Worth of Perry salary due to inflation }= 34885 \times 0.935\\\\\text{Worth of Perry salary due to inflation }= 32617.475[/tex]
Thus the salary of Perry if inflation is 6.5 % is $ 32617.475
