SOLUTION: Would you rather receive a 7% raise followed by a 2% raise or a 2% raise followed by a 7% raise? Explain.

Algebra ->  Percentage-and-ratio-word-problems -> SOLUTION: Would you rather receive a 7% raise followed by a 2% raise or a 2% raise followed by a 7% raise? Explain.      Log On


   

Question 237913: Would you rather receive a 7% raise followed by a 2% raise or a 2% raise followed by a 7% raise? Explain.
Answer by Alan3354(69443) About Me  (Show Source):
You can put this solution on YOUR website!
Would you rather receive a 7% raise followed by a 2% raise or a 2% raise followed by a 7% raise? Explain.
-----------
If you make $D per week:
D*1.07 = 1.07D
Then, 1.07D*1.02 = 1.0914D
---------------------------
With 2% first, it's the same amount.
-------------
If they're close in time, there's no difference.
But, if you get the 7% first and make more for some amount of time, you'll get more.