Sean Mccarthy earns 50000 per year while John Nowak earns 87

Sean Mccarthy earns $50,000 per year while John Nowak earns $87,500. What is John\'s income as an index using Sean\'s income as a base?

Solution

sean\'s income=$50000

john\'s income=$87500

in order to finf john\'s income as an index ,we have

as john\'s income is more than that of sean\'s income hence

it will be equal to87500/50000=1.75

i.e.john\'s income is 175%