# If your starting salary were $40,000 and you received a 3% increase at the end of every year for 15 years, what would be the in dollars, you would have earned over the first 16 years that you worked?

##### 1 Answer

Feb 11, 2018

Amount A =62318.7

Amount is the future value

#### Explanation:

Principal in $ P=40000

Interest per year in % i=3

Time in years n=15

Compound interest in $

A=P (1+i/100)^n

A=40000 (1+3/100)^15

A=40000 (1.03^15)

A=40000 (1.557968)

Principal P=40000

Amount I =62318.7