How To Calculate If Your Raise Is Arithmetic Or Geometric – Equations And Formulas Explained

How to know if a raise is arithmetic or geometric?what is equation for each (to find amount earned on Xth year)?How to find total amount earned during X years?

$X = arithmeticX% = geometricarithmetic:an = $salary + (n-1)$raisegeometric:an = $salary( 1 + raise%as decimal) ^n-1arithmetic: X years^E (simplified equation from above) i=1S = n(a1+an/2)geometric:X years^ E (simplified equation from above) i=1S = a(1-r^n/1-r)

To determine if a raise is arithmetic or geometric, you need to look at the pattern of increase in the salary.

Arithmetic growth refers to a steady, constant increase in the salary. For example, if an employee earns $1000 in the first year, and then receives a raise of $100 each year, their salary would be $1100 in the second year, $1200 in the third year, and so on. We can determine this by using the equation:

Salary = Starting salary + (Number of years – 1) * Rate of increase

Geometric growth, on the other hand, refers to a pattern of increasing growth in the salary. For example, if an employee earns $1000 in the first year, and then receives a raise of 10% each year, their salary would be $1100 in the second year, $1210 in the third year and so on. We can determine this by using the equation:

Salary = Starting salary * (1 + Rate of increase)^Number of years

To find the amount earned on the Xth year, simply plug the value of X into the appropriate equation and solve for Salary:

For arithmetic growth:
Salary = Starting salary + (X – 1) * Rate of increase

For geometric growth:
Salary = Starting salary * (1 + Rate of increase)^X

To find the total amount earned during X years, use the appropriate Summation formula:

For arithmetic growth:
Total earnings = (Number of years/2) * [2*Starting salary + Rate of increase*(Number of years-1)]

For geometric growth:
Total earnings = Starting salary * [(1 + Rate of increase)^Number of years – 1] / Rate of increase

Keep in mind that in practice, it is possible for a raise to be neither strictly arithmetic nor geometric, and therefore require a more complex formula for calculation.

More Answers:
Mastering Addition Of Positive And Negative Numbers Using Number Line
Mastering Addition Of Positive Numbers With Ease: The Simple Guide To Finding The Sum Of (+3) And (+1)
Addition Of Negative And Positive Numbers: Solve (-2) + (+8) = 6 With The Sign Rule

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