An employee is starting a job with an annual(yearly) salary of $40,000.
The employee's salary will increase by 3% at the end of each year with the company.
What will the employee's salary, in dollars, be at the end of the second year with the company?
Percent of a Number (examples, solutions, videos, worksheets, games, activities)
(1 point)
Responses
$1200
$1200
$41,200
$41,200
$42,436
$42,436
$1236
$1236
Skip to navigation
After the first year, the employee's salary will be $40,000 + 3% of $40,000 which is $1,200.
So at the end of the second year, the employee's salary will be $40,000 + $1,200 = $41,200.
Therefore, the correct answer is $41,200.