Micah takes a job with a starting salary of $78,000 for the first year. He earns a 4% increase each year. How much does Micah make over seven years? $567,840 $616,067 $718,710 $718,499
Use the formula of the future value of an annuity ordinary which is Fv=pmt [((1+r)^(t)-1)÷r] Fv how much he made ? PMT yearly salary 78000 R rate of increases 0.04 T time 7 years
Fv=78,000×(((1+0.04)^(7)−1)÷(0.04)) Fv=616,066.96 round your answer to get 616067
