tom and jerry were offered similar jobs at competing companies. sony offered tom a starting salary of $ 32,000 per year with a 7% raise at the end of each year.panasonic offered jerry a $35,000 annual starting salary with a 5% raise at the end of each year.
To compare the two job offers, let's calculate the salaries for Tom and Jerry over a few years.
For Tom:
Starting salary = $32,000
Annual raise = 7% of the previous year's salary
For Jerry:
Starting salary = $35,000
Annual raise = 5% of the previous year's salary
Let's calculate the salaries for the first 5 years.
Year 1:
Tom's salary: $32,000
Jerry's salary: $35,000
Year 2:
Tom's salary: $32,000 + (7% of $32,000)
Jerry's salary: $35,000 + (5% of $35,000)
Year 3:
Tom's salary: Previous year's salary + (7% of previous year's salary)
Jerry's salary: Previous year's salary + (5% of previous year's salary)
Year 4:
Tom's salary: Previous year's salary + (7% of previous year's salary)
Jerry's salary: Previous year's salary + (5% of previous year's salary)
Year 5:
Tom's salary: Previous year's salary + (7% of previous year's salary)
Jerry's salary: Previous year's salary + (5% of previous year's salary)
Let's calculate the salaries for each year.
Year 1:
Tom's salary: $32,000
Jerry's salary: $35,000
Year 2:
Tom's salary: $32,000 + (0.07 * $32,000) = $34,240
Jerry's salary: $35,000 + (0.05 * $35,000) = $36,750
Year 3:
Tom's salary: $34,240 + (0.07 * $34,240) = $36,644.80
Jerry's salary: $36,750 + (0.05 * $36,750) = $38,587.50
Year 4:
Tom's salary: $36,644.80 + (0.07 * $36,644.80) = $39,145.86
Jerry's salary: $38,587.50 + (0.05 * $38,587.50) = $40,516.88
Year 5:
Tom's salary: $39,145.86 + (0.07 * $39,145.86) = $41,874.33
Jerry's salary: $40,516.88 + (0.05 * $40,516.88) = $42,542.72
After 5 years:
Tom's salary: $41,874.33
Jerry's salary: $42,542.72
Based on the calculations, after 5 years, Tom's salary will be $41,874.33, while Jerry's salary will be $42,542.72.
To find out which job offers a higher salary over time, we need to calculate the salaries for both Tom and Jerry after a certain number of years. Let's assume we calculate for a period of 5 years.
For Tom's job, his starting salary is $32,000 per year, and he will receive a 7% raise at the end of each year. So, his salary for each year can be calculated as follows:
Year 1: $32,000 + ($32,000 * 7%) = $32,000 + $2,240 = $34,240
Year 2: $34,240 + ($34,240 * 7%) = $34,240 + $2,397.60 = $36,637.60
Year 3: $36,637.60 + ($36,637.60 * 7%) = $36,637.60 + $2,564.53 = $39,202.13
Year 4: $39,202.13 + ($39,202.13 * 7%) = $39,202.13 + $2,744.15 = $41,946.28
Year 5: $41,946.28 + ($41,946.28 * 7%) = $41,946.28 + $2,936.24 = $44,882.52
Now let's calculate Jerry's salary for each year. His starting salary is $35,000 per year, and he will receive a 5% raise at the end of each year:
Year 1: $35,000 + ($35,000 * 5%) = $35,000 + $1,750 = $36,750
Year 2: $36,750 + ($36,750 * 5%) = $36,750 + $1,837.50 = $38,587.50
Year 3: $38,587.50 + ($38,587.50 * 5%) = $38,587.50 + $1,929.38 = $40,516.88
Year 4: $40,516.88 + ($40,516.88 * 5%) = $40,516.88 + $2,025.84 = $42,542.72
Year 5: $42,542.72 + ($42,542.72 * 5%) = $42,542.72 + $2,127.14 = $44,669.86
Comparing the salaries after 5 years:
Tom's salary after 5 years: $44,882.52
Jerry's salary after 5 years: $44,669.86
Therefore, based on this calculation, Tom's salary is slightly higher than Jerry's after 5 years.