Question

The boss gives all his employees a 4% pay rise.

Answer 1

Paul's rate before the pay rise = 7.0

The increase = 4/100 * 7.0 = 0.28

Paul's rate after the pay rise = 7.0 + .28 = 7.28

Answer 2

4/100 * 7 = .28. .28 raise which means he will not be paid 7.28 an hour