Question

If your starting salary is 40,000 and you receive a 3% increase at the end of every year, what is the total amount, in dollars, you will receive over the first 16 years that you work?

Answer 1

Answer:

Correct answer is $806275

Step-by-step explanation:

Answer 2

$\bf \qquad \textit{Amount for Exponential Growth}\\\\ A=I(1 + r)^t\qquad \begin{cases} A=\textit{accumulated amount}\\ I=\textit{initial amount}\to &40,000\\ r=rate\to 3\%\to \frac{3}{100}\to &0.03\\ t=\textit{elapsed time}\to &16\\ \end{cases} \\\\\\ A=40000(1+0.03)^{16}\implies A=40000(1.03)^{16}$