Question

Emily got a new job that guarantees her a 6% raise every year. If she started out making $25,000, how long will it be before she doubles her current salary?

Answer 1

Answer:

using the rule of 72 in 12 years time Emily will have her salary doubled

Explanation:

initial yearly income :  $25000 ( first year salary )

yearly increase percentage : 6%

yearly increase = yearly percentage increase * initial yearly income

                          = 6% * $25000

                          = 0.06 * $25000

                          = $1500

To double her salary which is $25000 to $50000 we use the rule of 72

in the rule of 72 you divide 72 by the annual interest rate

which now become =  72 / 6  = 12 years

Answer 2

Answer:

17 Years

Explanation:

Multiply $25,000 and .06 (6%) your answer should be $1,500. $1,500 goes into $25,000 16.66666~ times. Round it to 17. There's your answer.