Problema Solution
anya has started a new job paying 8.00 per hour. assuming her work is excellent she will get a 5% raise every 4 months what will be her pay rate after 3 and 10 years?
Answer provided by our tutors
the start pay is: $8 per hour
after 1*4 = 4 months from the start: 8 + 0.05*8 = 8(1 + 0.05)
after 2*4 = 8 months from the start: 8(1 + 0.05) + 0.05*8(1 + 0.05) = 8(1 + 0.05)^2
....
after n*4 = 4n months from the start: 8(1 + 0.05)^n
what will be her pay rate after 3 years?
since 3 years = 3*12 = 36 months and 36 = 4*9
after 9*4 = 36 months from the start the pay rate will be: 8(1 + 0.05)^9 = $12.41 per hour.
what will be her pay rate after 10 years?
since 10 years = 10*12 = 120 months and 120 = 4*30
after 30*4 = 120 months from the start the pay rate will be: 8(1 + 0.05)^30 = $34.58 per hour.