Given: Sharmila’s yearly salary = Rs. 5,00,000.
Rate of annual increment = 10%.
Year | 01 | 02 | 03 | 04 |
---|---|---|---|---|
Salary |
500000 a |
500000(1+
10
100
)
a.r |
500000(1+
10
100
)2
a.r2 |
500000(1+
10
100
)3
a.r3 |
Here, a = a1 = 5,00,000
Hence the situation forms a G.P.