The table below reports the annual net salary amounts for an accountant who
began employment with an auditing firm in 1995. In addition, the value of the
Consumer Price Index (CPI) for 1995 through 1999 is shown.
Year Salary (Sh.) CPI
1995 360,000 130.7

1996
1997
1998
1999
370,000
390,000
395,000
400,000
136.2
140.3
144.5
148.2
Required:
Determine whether there is a difference in percentage salary increase between
1995 and 1999 in terms of stated (current) shillings amounts and in terms of
constant (deflated salary using CPI) shillings.
(12 marks)