📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    A company has two employees, Employee A and Employee B.

    Employee A earns 180,000 annually, and Employee B earns 210,000 annually. If Employee A’s salary is increased by 10% and Employee B’s salary is increased by 7%, what is the new average monthly salary of the two employees?
    A 17,000 Correct Answer Incorrect Answer
    B 17,108.5 Correct Answer Incorrect Answer
    C 17,200 Correct Answer Incorrect Answer
    D 17,300 Correct Answer Incorrect Answer
    E 17,612.5 Correct Answer Incorrect Answer

    Solution

    Monthly earning of Employee A = 180,000 / 12 = 15,000 Monthly earning of Employee B = 210,000 / 12 = 17,500 After a 10% increase, the earning of Employee A = 110% of 15,000 = 16,500 After a 7% increase, the earning of Employee B = 107% of 17,500 = 18,725 New average monthly salary = (16,500 + 18,725) / 2 = 35,225 / 2 = 17,612.5

    Practice Next
    More Quant Miscellaneous Questions
    ask-question