Today you earn a salary of $28,500. What will be your annual salary fifteen years from now if you earn annual raises of 3.5%?

Question

Quizplus · Accepted Answer

The correct answer is C. $47,747.44.To calculate the annual salary fifteen years from now, we need to use the formula:Future Value = Present Value * (1 + Interest Rate)^Number of YearsIn this case, the present value is $28,500, the interest rate is 3.5%, and the number of years is 15.Plugging these values into the formula, we get:Future Value = $28,500 * (1 + 0.035)^15Future Value = $28,500 * 1.675Future Value = $47,747.44Therefore, the annual salary fifteen years from now will be $47,747.44.

Today You Earn a Salary of $28,500