Quantitative Aptitude Quest

Percentage

John started work 2 years ago. Her starting salary was 1/2 of Mike's salary at that time. Each year since then Joan has received a raise of5% in her salary and Mike has received a raise of 10% in his salary. What percentage (to the nearest percent) of Mike's current salary is Joan's current salary?
1. 45
2. 46
3. 48
4. 50




Let JS and JC be Joan's starting and current salaries respectively. Let Ms and MC be Mike's salary when Joan started and his current salary. We know JS = .5Ms, and we want to find an equation relating JC and Mc. Since Joan received a 5% raise each year, after 1 year her is (1.05)(1.05)JS. In the same way, we can see that Mike's current salary (MC) is = (1.10)(1.10)MS. So Mc = (1.1) Ms. So JC = (1.05)(1.05)Js = 1.1025JS = .5(1.1025)MS = (.55125) (1/(1.1) )MC = (.55125/1.21)MC. Since we want the answer to the nearest percent, we must divide to three decimal places. So, .55125/1.21 = .455 = 46% to the nearest percent.

Recent updates