Question: A professional company is hiring for a new position. They have two qualified applicants. The first applicant will accept a salary of $42000 and make the company $93000 in the first year, but needs 3 months of additional training that costs $1200 a month. The second applicant does not need training and will make the company $92000 in the first year, but is requesting a salary of $45000 and a hiring bonus of 1% of his salary. Less the amount it will cost to pay for each candidate, how many more dollars will one candidate make the company than the other in the first year? Think carefully first, then make a decision:
The first candidate’s training will cost 1200 * 3 = $3600. That candidate will make the company 93000 - 42000 - 3600 = $47400 in the first year. The second candidate’s bonus will cost 45000 * 1 / 100 = $450. That candidate will make the company 92000 - 45000 - 450 = $46550 in the first year. Thus, the first candidate will make the company 47400 - 46550 = $850 more in the first year. So the answer is 850.