Question

The average hourly earnings for a construction worker is projected to be $24.50 in 2012. Jason wants to join the construction work force after he graduates in 2012. His friend tells him that average hourly earnings for construction workers will rise by 2% from 2009 to 2012. Based on the data below, assuming that the projected hourly earnings are correct, is Jason’s friend’s statement accurate? Construction Industry - Average Hourly Earnings, 2000-2009 a. His friend’s statement is accurate. The average hourly earnings will increase by 2%. b. His friend’s statement is not accurate. The percent increase will be more than 2% c. His friend’s statement is not accurate. The percent increase will be less than 2% d. His friend’s statement is not accurate. The average hourly earnings will decrease.

Answer 1

Answer:

b. His friend’s statement is not accurate.

Explanation:

The projected average hourly earnings is $24.50 in 2012, and Jason wants to start working in a construction firm after he graduates in 2012. The friend says  that average hourly earnings for construction workers will rise by 2% from 2009 to 2012.

The friend’s statement is not accurate because the average hourly earnings will increase by more than 2%

Answer 2

Answer:

b. His friend’s statement is not accurate. The percent increase will be more than 2%

Explanation:

Projected earnings are estimated to be $24.50 in 2012 and his friend says there will be a 2% increase from 2009 to this period to average this particular amount($24.50). however based on data, the friend is wrong since it would actually take more than a 2 percent increase to reach projected earnings of $24.50 in 2012 from 2009.