If you earn $1200 per month and you expect your earnings to increase by 10% per year, how much do you think you will be making per year in 5 years?
To calculate your projected earnings per year in 5 years, you need to take into account the 10% increase per year. Here's how you can calculate it step by step:
1. Start with your current monthly earnings: $1200
2. Multiply your monthly earnings by 12 to get your current annual earnings: $1200 * 12 = $14,400
3. Calculate the increase in earnings per year: $14,400 * 10% = $1,440
4. Multiply the increase in earnings by the number of years: $1,440 * 5 = $7,200
5. Add the increase to your current annual earnings to get your projected earnings in 5 years: $14,400 + $7,200 = $21,600
Therefore, it is expected that you will be making $21,600 per year in 5 years.