Problema Solution

In 2013, Jim Goodman, an employee at Walgreens, earned $45,900, an increase of 17.5% over the previous year. What were Jim's earnings in 2012? Round to the nearest cent.

Answer provided by our tutors

Let 'x' represent Jim Goodman's earnings in the year of 2012.

x + 0.17xx = 45900

x(1 + 0.175) = 45900

1.175x = 45900

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click here to see the equation solved for x

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x = $39,063.83

Jim's earnings in 2012 were $39,063.83 rounded to the nearest cent.