Step 1 :We are given that Company A pays $43,000 yearly with a guaranteed raise of $1,000 per year, and Company B pays $44,500 yearly with a guaranteed raise of $800 per year. We are asked to find out which company will pay more for the first 10 years of employment, and how much more.
Step 2 :We can calculate the total salary for each company over 10 years using the formula for the sum of an arithmetic series. The formula is \( S = \frac{n}{2} \cdot (a_1 + a_n) \), where \( n \) is the number of terms, \( a_1 \) is the first term, and \( a_n \) is the last term.
Step 3 :For Company A, \( n = 10 \), \( a_1 = \$43,000 \), and the common difference \( d = \$1,000 \). So, the last term \( a_n = a_1 + (n-1) \cdot d = \$43,000 + 9 \cdot \$1,000 = \$52,000 \).
Step 4 :Substituting these values into the formula, we get the total salary for Company A over 10 years: \( S_A = \frac{10}{2} \cdot (\$43,000 + \$52,000) = \$475,000 \).
Step 5 :For Company B, \( n = 10 \), \( a_1 = \$44,500 \), and the common difference \( d = \$800 \). So, the last term \( a_n = a_1 + (n-1) \cdot d = \$44,500 + 9 \cdot \$800 = \$51,700 \).
Step 6 :Substituting these values into the formula, we get the total salary for Company B over 10 years: \( S_B = \frac{10}{2} \cdot (\$44,500 + \$51,700) = \$481,000 \).
Step 7 :Comparing the totals, we find that Company B pays more over the first 10 years of employment. The difference between the total amounts paid by the two companies is \$481,000 - \$475,000 = \$6,000.
Step 8 :Final Answer: Company B pays \(\boxed{\$6,000}\) more.