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


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