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A union contract specifies a 6 percent salary increase plus a $450 bon

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A union contract specifies a 6 percent salary increase plus a $450 bon [#permalink]

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New post 21 May 2017, 01:09
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A union contract specifies a 6 percent salary increase plus a $450 bonus for each employee. For a certain employee, this is equivalent to an 8% salary increase. What was this employee's salary before the new contract?

a) $21500

b) $22500

c) $23500

d) $24300

e) $25000
[Reveal] Spoiler: OA

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Re: A union contract specifies a 6 percent salary increase plus a $450 bon [#permalink]

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New post 21 May 2017, 01:13
Since the 6% salary increase and 450$ bonus equals 8% increase overall.
We can equate 450$ to be the remaining 2% of the salary increase.

Hence 100% of the salary before increase is 50*450 or 22500(Option B)
(because 2% is x, 100% will be 50x)
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A union contract specifies a 6 percent salary increase plus a $450 bon [#permalink]

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New post 21 May 2017, 04:14
A union contract specifies a 6 percent salary increase plus a $450 bonus for each employee. For a certain employee, this is equivalent to an 8% salary increase. What was this employee's salary before the new contract?

Let the Current salary of Employee be = X

As per new contract Salary increased by 6% plus $450 = 106% of X + 450

This revised Salary is equivalent to 8% salary increase = 108% of X

Therefore;

108% of X = 106% of X + 450

\(\frac{108}{100}\) * X = \(\frac{106}{100}\) * X + 450 = \(\frac{106X + 45000}{100}\)

108X = 106X + 45000

2X = 45000

X = $22500

Employee's salary before the new contract was $22500
Answer B...

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A union contract specifies a 6 percent salary increase plus a $450 bon [#permalink]

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New post 22 May 2017, 13:48
carcass wrote:
A union contract specifies a 6 percent salary increase plus a $450 bonus for each employee. For a certain employee, this is equivalent to an 8% salary increase. What was this employee's salary before the new contract?

a) $21500

b) $22500

c) $23500

d) $24300

e) $25000


Let x = original salary

6% of x plus 450 dollars is the same as, or equals, 8% of x:

.06x + 450 = .08x

.02x = 450

450/.02 = 22,500

x, original salary = $22,500

Answer B
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A union contract specifies a 6 percent salary increase plus a $450 bon   [#permalink] 22 May 2017, 13:48
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