Suppose That the Total Salary of All the Employees at a Factory

question 9

Multiple Choice

Suppose that the total salary of all the employees at a factory in a certain city is $350,000. Of this salary, 80% is spent in the city. Of the money spent in the city, 80% is again spent in the city. If this continues indefinitely, how much total money is spent in the city, that is, how much of an effect does the original total salary have on the local economy?

• A) $2,800,000
• B) $504,000
• C) $1,400,000
• D) $683,200

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Definitions:

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The process of making a statement or situation less confused and more comprehensible.

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The ability to produce clever and humorous responses or remarks without preparatory thought.

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The process of making arrangements or preparations for future actions or events in advance, often to ensure better outcomes.

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The act of expressing or articulating issues, concerns, or challenges verbally.