Sure, let's determine James's new salary after his promotion to salary level 2 along with the cost-of-living increase and the merit bonus.
Firstly, we know that the salary for level 2 is [tex]$54,000.
1. Cost-of-Living Increase:
James receives a 3% cost-of-living increase on his salary level:
\[
\text{Cost-of-Living Increase} = 54,000 \times 0.03 = 1,620
\]
2. Merit Bonus:
James also receives a 10% merit bonus:
\[
\text{Merit Bonus} = 54,000 \times 0.10 = 5,400
\]
3. New Salary Calculation:
To find his new salary, we need to add the level 2 salary, the cost-of-living increase, and the merit bonus:
\[
\text{New Salary} = 54,000 + 1,620 + 5,400 = 61,020
\]
4. Rounding:
The calculated salary is already a whole number, so no rounding is needed.
Thus, James's new salary, after considering the cost-of-living increase and the merit bonus, is \(\$[/tex]61,020\).
