As a graduating senior, Chun Kumora of Manhattan, Kansas, is eager to enter the job market at an anticipated annual salary of $41,000. Assuming an average inflation rate of 2 percent and an equal cost-of-living raise, what will his salary possibly become in 11 years? Round your answer to the nearest dollar.
What will his salary be in 21 years? Round your answer to the nearest dollar. Round Future Value of a Single Amount in intermediate calculations to four decimal places.
To make real economic progress, how much of a raise (in dollars) does Chun need to receive next year and the year after? Round your answers to the nearest dollar.

Chun must receive raise greater than $ for the next year and greater than $
for the year after.

Inflation is the increase in general prices of goods and services where the same amount of money previously has a lower value now because they cannot purchase the same quantity of goods as before

The salary of Chun in 11 years from now can be determined using the future value formula as below:

FV=PV*(1+r)^N

FV=salary in 11 years=unknown

PV=current salary=$41,000

r=inflation rate=growth rate of salary=2%

N=number of years=11

FV=$41000*(1+2%)^11

FV=$50,978.35

21 years salary:

FV=$41000*(1+2%)^21

FV=$62,142.32

The raise next year is the 2% of the current annual salary

raise in salary next year=2%*$41,000

raise in salary next year=$820

salary next year=$41,000+$820

salary next year=$41,820

The raise the year after is 2% of next year's salary

raise year after =2%*$41,820

raise year after=$836.40

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