A recent college graduate has received the annual salaries shown in the following table over the past four years. During this time, the Consumer Price Index (CPI) has performed as indicated in the table below. Determine the annual salaries in year-zero Sterling Pound £ (b = 0), using the CPI as the indicator of general price inflation. End of Year Salary (Actual £) Consumer Price Index (CPI) 1 £34,000 2.4% 2 £36,200 1.9% 3 £38,800 3.3% 4 £41,500 3.4%

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