Calculating future value if salary. During a job interview, Pam thompson is offered a salary of $28.000. The company gives annual raises of 6 percent. What would be Pam's salary during her fifth year on the job?

Answer 1

Pt = Po(1+r)^4.

Pt = 28000(1.06)^4 = $35,349.35. = Salary at end of 4th year = Salary at
beginning and during 5th yar.