I am struggling with this project. Could someone explain how to answer this problem and help provide a solution?

2. Personnel expenses: You have been tasked with com- puting baseline budget targets for the upcoming budget cycle. Using Table 12.3 as your starting point, make the fol- lowing adjustments: (a) All employees are expected to receive a 3% cost-of- living increase in the next year. (b) The fixed benefit rate will increase by $12.50 per full- time equivalent (FTE) employee. There are 50 FTES. (e) The variable benefit rate will increase by 1.25% for all employees in the next year. (d) Budget baselines are not given out with cents, so round to the nearest dollar. TABLE 12.3 Personnel Expenses FY 2014 Expense Type Salaries Fixed Benefits Variable Benefits Total Nonpersonnel FTE $1,500,257 534,240 262,545 $ 2,297,042 50.00