In 1991, the federal minimum wage rate was $4.25 per hour. In 1997, it was increased to $5.15. Find the annual rate of change in the federal minimum wage rate from 1991 to 1997.
(5.15-4.25)/6 = ?
To find the annual rate of change in the federal minimum wage rate from 1991 to 1997, you will need to calculate the difference in the wage rate over the six-year period and divide it by the number of years.
Step 1: Calculate the difference in the wage rate:
The wage rate increased from $4.25 per hour in 1991 to $5.15 per hour in 1997.
Difference = $5.15 - $4.25 = $0.90
Step 2: Calculate the annual rate of change:
Since the given period is six years, divide the difference in wage rates by the number of years.
Annual rate of change = Difference / Number of years
= $0.90 / 6
= $0.15 per year
Therefore, the annual rate of change in the federal minimum wage rate from 1991 to 1997 is $0.15 per year.