Question

Sally has just finished her thirty-fifth year with her company and is getting ready to retire. During her thirty-five years, Sally’s average annual salary was $45,603. How much can Sally expect to receive from Social Security annually if she were to retire today? (Assume she will receive 42% of her average annual salary.)

Answer 1

$19,153.26

If Sally got 42% of her aberage annual salary, that would be $45,603 * 42%.

Answer 2

The correct answer is:

$19,153.26.

Explanation:

She will receive 42% of her average annual salary. This salary was $45,603.

To find 42% of a number, we first convert the percent to a decimal: 42% = 42/100 = 0.42.

Next we multiply this by the number we're taking the percent of:

0.42(45603) = 19153.26.