Consider a job offer with a starting salary of $43,200 and a given annual raise of $2175. Determine the total compensation from the company through seven full years of employment.
A)$406,500
B)$291,825
C)$185,850
D)$136,125
E)$348,075

Question

Quizplus · Accepted Answer

In one year, the salary will increase from $43,200 to $43,200 + $2,175 = $45,375.
Therefore, the total compensation in the first year is $45,375.
In the second year, the salary will increase from $45,375 to $45,375 + $2,175 = $47,550.
Therefore, the total compensation in the second year is $45,375 + $47,550 = $92,925.
Similarly, we can calculate the total compensation for each year:

Year 1: $45,375
Year 2: $92,925 = $45,375 + $47,550
Year 3: $141,075 = $92,925 + $48,150
Year 4: $189,225 = $141,075 + $48,150
Year 5: $237,375 = $189,225 + $48,150
Year 6: $285,525 = $237,375 + $48,150
Year 7: $333,675 = $285,525 + $48,150

Therefore, the total compensation through seven full years of employment is $333,675. The correct answer is E.

Consider a Job Offer with a Starting Salary of $43,200