To find the value of D, we need to calculate the real earnings for each year using the formula:
Real earnings = (Annual earnings / Consumer Price Index) * 100
Using the given values:
A = (13450 / 100) * 100 = 13450
B = (13800 / 105) * 100 ≈ 13142.86
C = (15000 / 112) * 100 ≈ 13392.86
D = (16500 / 123) * 100 ≈ 13414.63
E = (18000 / 132) * 100 ≈ 13636.36
Therefore, the value of D is approximately 13415.
The information below contains the annual earnings (in rands) of a company over a five year period from 2010 to 2015, as well as the Consumer Price Index for the same period:
Year Annual earnings Consumer Price Index Real earnings
2010 13450 100 A
2011 13800 105 B
2012 15000 112 C
2013 16500 123 D
2014 18000 132 E
Find the value of D.
18933
14002
13869
13415
13256
1 answer
1 answer