Murphy's annual income has increased by 10% per year for the last 8 years. If Murphy's annual income is now $72,596, what was it 8 years ago?
A) $14,519
B) $33,867
C) $41,587
D) $51,922
E) $58077

Question

Quizplus · Accepted Answer

Murphy's income 8 years ago can be found by reversing the 10% annual increase over 8 years. This is done by dividing the current income by $1.10^8$. So, the calculation is $72,596 / (1.10)^8 = 33,867$.

Murphy's Annual Income Has Increased by 10% Per Year for the Last