Question

A company makes cars.

Answer 1

Answer:

$6,250,000

Step-by-step explanation:

Let :

2016 income = x

2017 income = x + $500,000

2017 income is 8% more than company's income in 2016

Thus ;

8% of 2016 income = 500000

0.08x = 500,000

x = 6,250,000

Hence, the company's income in 2016 is $6,250,000