document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1190171>Question 1190171</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Earl Thomas has received a raise from $50,000 a yr to $55000 a yr . What was Earls raise stated as a percentage? Inflation averaged 3.3% for the yr. What was earls real income after the raise? What was Earls real raise stated as a percentage ?  \r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "For the first question my answer was 10 <BR>\n" );
document.write( "My second answer is 53242 <BR>\n" );
document.write( " I am stuck in the 3rd question. I tried 55000-53242=1758 then 1758%55000x100=3.19  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #821739 by </B><A HREF=/tutors/aboutme.mpl?userid=math_tutor2020><B>math_tutor2020(3817)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=math_tutor2020><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=821739\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> <font color=black size=3><BR>\n" );
document.write( "Problem 1\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "difference = new salary - old salary<BR>\n" );
document.write( "difference = 55,000 - 50,000<BR>\n" );
document.write( "difference = 5,000\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "percent change = (difference)/(original)<BR>\n" );
document.write( "percent change = (5,000)/(50,000)<BR>\n" );
document.write( "percent change = 1/10<BR>\n" );
document.write( "percent change = 0.10<BR>\n" );
document.write( "percent change = 10%\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Your answer for problem 1 is correct. <BR>\n" );
document.write( "Earl got a <font color=red>10%</font> raise if we ignore the aspect about inflation.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "---------------------------------------------------\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Problem 2\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Let's say Earl wants to buy a car worth $50,000<BR>\n" );
document.write( "Without inflation, the price would stay where it is.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "With the 3.3% inflation, the price increases to 1.033*50,000 = 51,650\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Effectively Earl loses $1,650 in earnings due to this rate of inflation (since 51,560-50,000 = 1,650)<BR>\n" );
document.write( "In other words, he would need to earn an additional $1,650 in order to keep up with inflation.<BR>\n" );
document.write( "It is said that the inflation \"eats\" away at those earnings so to speak.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "His new salary of $55,000 is really 55,000 - 1,650 = 53,350 dollars when considering inflation.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Notice that without inflation, we could say<BR>\n" );
document.write( "50,000*1.10 = 55,000<BR>\n" );
document.write( "and with the 3.3% inflation, we could say<BR>\n" );
document.write( "50,000*(1.10-0.033) = 53,350\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "The 10% raise is really 10% - 3.3% = 6.7% when considering inflation.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Answer: <font color=red>$53,350</font>\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "---------------------------------------------------\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Problem 3\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Earlier we calculated the real raise percentage was 6.7% (refer to the tail end of problem 2).\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Here's another approach\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "difference = new salary - old salary<BR>\n" );
document.write( "difference = 53,350 - 50,000<BR>\n" );
document.write( "difference = 3,350\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "percent change = (difference)/(original)<BR>\n" );
document.write( "percent change = (3,350)/(50,000)<BR>\n" );
document.write( "percent change = 0.067<BR>\n" );
document.write( "percent change = 6.7%\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "Answer: <font color=red>6.7%</font><BR>\n" );
document.write( "</font> </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );