Got Homework?
Connect with other students for help. It's a free community.
Here's the question you clicked on:
 0 viewing
Suppose that you have been hired at an annual salary of $85,000 and receive a raise of 6% per year. How much will you have earned after 7 yrs???
 one year ago
 one year ago
Suppose that you have been hired at an annual salary of $85,000 and receive a raise of 6% per year. How much will you have earned after 7 yrs???
 one year ago
 one year ago

This Question is Closed

ashley4328Best ResponseYou've already chosen the best response.1
1 year: 90,100 2 years:95,506 3 years: 101,236.36 So each year, the salary is raised 6%. So changing the percent to a decimal is .06. Using that you would times it with $85,000 and get $5,100. Then you would add that and get the next year's salary. So taking that salary which would be $90,100. Basically, you're multiplying .06 with the previous salary for each year and that is how you would get the next salary. Use this to find out the rest of the years until you reach 7 years.
 one year ago

tkhunnyBest ResponseYou've already chosen the best response.0
i = 0.06 r = 1 + i = 1.06 \(85000 + 85000r + 85000r^{2} + ... + 85000r^{6} = 85000(1 + r + r^{2} + ... + r^{6}) = 85000\cdot\dfrac{1r^{7}}{1r} \) It's called "Basic Principles" and it used the concept of the Sum of a Geometric Series.
 one year ago

Garcia_123Best ResponseYou've already chosen the best response.0
thanks!! I got it now, final answer is $713,476
 one year ago

tkhunnyBest ResponseYou've already chosen the best response.0
That last one was \(85000\cdot\dfrac{1r^{7}}{1r}\)
 one year ago
See more questions >>>
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.