Question

Jim Goodman, an employee at Walgreens earned 35,000 an increase of 17.6% over the previous year. What were Jim’s earnings the previous year? ( round to the nearest cent)

Answer 1

Last year earnings = X

Present Year earnings = $35,000

Increase = 17.6% = 0.176

$X\cdot(1+0.176)=35000$

This means, that last year earnings multiply by 1.176 equals the present earnings

If we solve for x:

$x=\frac{35000}{1.176}=29761.90$

We found that last year Jim used to earn $29,761.90