In the equation \( y = 0.28x + 38,000 \), the y-intercept is the value of \( y \) when \( x = 0 \).
To find the y-intercept, we can substitute \( x = 0 \) into the equation:
\[ y = 0.28(0) + 38,000 = 38,000 \]
Therefore, the y-intercept is \( 38,000 \). This means that if Adam has no sales (i.e., \( x = 0 \)), his annual salary would be \( 38,000 \).