Question

Sandra saves 11% of her salary for retirement. This year her salary was $1,000 more than in the previous year, and she saved $4,620. What was her salary in the previous year?

Answer 1

First find her salary this year by dividing the amount she saved by the percentage saved:

$4,620 / 0.11 = $42,000

Her salary now is $1000 more than the previous year, so now subtract $1000 from her present salary:

42,000 - 1,000 = $41,000