Nermal Kumar is a senior manager for Timber Eye Industries in California. After his annual performance review, he received a merit raise of 7.25% and a cost-of-living increase of 2.2%. His annual salary after the increases was $87,609.50. What was Nermal's annual salary before the two increases took effect?

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1. Nermal Kumar is a senior manager for Timber Eye Industries in California. After his annual performance review, he received a merit raise of 7.25% and a cost-of-living increase of 2.2%. His annual salary after the increases was $87,609.50. What was Nermal's annual salary before the two increases took effect?