Angie's Salary Is $45,000

question 43

Short Answer

Angie's salary is $45,000. If inflation this year is 3 percent, what does Angie's salary need to be in order to hold the same purchasing value?

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Definitions:

Accounts Payable

The amount of money that a company owes to its suppliers or creditors for goods and services purchased on credit.

Receivables Period

The amount of time it takes for a company to collect payments owed by its customers after a sale has been made.

Selling Price

The amount of money charged for a product or service, or the sum obtained from the sale of an asset.

Receivables

Money owed to a company by customers for goods or services that have been delivered or used but not yet paid for.