last year frank had a total income of $58,800. he sold a house and made a profit of $27,940. he also had…

last year frank had a total income of $58,800. he sold a house and made a profit of $27,940. he also had monthly income of $80 from investments. assuming frank works 25 hours per week and 52 weeks per year as an hourly employee, how much more an hour would frank had to have earned last year in order to have a total income of $59,970? a. $0.63 b. $0.72 c. $0.80 d. $0.90 please select the best answer from the choices provided

last year frank had a total income of $58,800. he sold a house and made a profit of $27,940. he also had monthly income of $80 from investments. assuming frank works 25 hours per week and 52 weeks per year as an hourly employee, how much more an hour would frank had to have earned last year in order to have a total income of $59,970? a. $0.63 b. $0.72 c. $0.80 d. $0.90 please select the best answer from the choices provided

Answer

Explanation:

Step1: Calculate current non - hourly income

The profit from selling the house is $27940$, and the annual investment income is $80\times12 = 960$. So the total non - hourly income is $27940 + 960=28900$.

Step2: Calculate current hourly income

The total current income is $58800$. So the current hourly income is $58800 - 28900=29900$.

Step3: Calculate the number of working hours per year

Frank works 25 hours per week and 52 weeks per year, so the number of working hours per year is $25\times52 = 1300$ hours.

Step4: Calculate the new total income needed

The new total income needed is $59970$. The non - hourly income remains the same at $28900$. So the new total hourly income needed is $59970 - 28900 = 31070$.

Step5: Calculate the difference in hourly income

The current hourly income is $\frac{29900}{1300}=23$ dollars per hour. The new hourly income needed is $\frac{31070}{1300}=23.9$ dollars per hour. The difference is $23.9 - 23=0.9$ dollars per hour.

Answer:

D. $0.90$