During a job interview, Pam Thompson is offered a salary of $59,000. The company gives annual...
During a job interview, Pam Thompson is offered a salary of $59,000. The company gives annual raises of 8 percent. What will be Pam’s salary during her fifth year on the job? Use Exhibit 1-A. (Round time value factor to 3 decimal places and final answer to the nearest whole number.)
Homework Answers
Present value = Future value/(1+i)^n
i = interest rate per period
n= number of periods
=>
Future value = 59000 * (1+8%)^4
= 80268.85
= 80269
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