Spoiler Inside: Solution to Puzzle | SelectShow |
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Plan A pays $50,000 for the first year, $52,000 for the second, $54,000 for the third, $56,000 for the fourth, $58,000 for the fifth, and $60,000 for the sixth and every succeeding year.
In the first year, Plan B pays $25,000 for the first six months and $25,475 for the next six months for a total of $50,475. In the second year, the figures for Plan B are $25,950, $26,425, and $52,375. In the third year, the figures for Plan B are $26,900, $27,375, and $54,275. In the fourth year, the figures for Plan B are $27,850, $28,325, and $56,175. In the fifth year, the figures for Plan B are $28,800, $29,275, and $58,075. In the sixth year, the figures for Plan B are $29,750, $30,000 – as the maximum salary now applies – and $59,750. In the seventh and succeeding years, the figures for Plan B are $30,000, $30,000, and $60,000. At every point, the cumulative earnings from Plan B exceed those of Plan A. Pick Plan B. |