Question

In the current year Aveeno reported net income of $50,400which was a 12% increase over prior year net income Compute prior year net income

Answer 1

Answer:

$45000

Step-by-step explanation:

Given data

Net income =$50,400

Let the prior year income be x

12/100*x +x= 50400

0.12x+x= 50400

1.12x= 50400

x= 50400/1.12

x= $45000

Hence the prior year income is $45000