Michael saves 5% of his salary. When his salary was decreased by 40%, his savings decreased proportionately to $174. What was his original salary?
| |
Savings |
Spending |
Total |
| Before |
5% |
95% |
100% |
| Change |
- 2% |
- 38% |
- 40% |
| After |
3% |
57% |
60% |
New salary after it was decreased by 40%
= 100% - 40%
= 60%
Decrease in savings
= 40% x 5%
=
40100 x 5%
= 2%
New savings in percentage
= 5% - 2%
= 3%
3% of the original salary = 174
1% of the original salary = 174 ÷ 3 = 58
100% of the original salary = 10 x 58 = 5800
Michael's original salary = $5800
Answer(s): $5800
