Inflation causes things to cost more, and for our money to buy less (hence your grandparents saying "In my day, you could buy a cup of coffee for a nickel"). Suppose inflation decreases the value of money by 4% each year. In other words, if you have $1 this year, next year it will only buy you $0.96 worth of stuff. How much will $100 buy you in 15 years?

College Algebra
7th Edition
ISBN:9781305115545
Author:James Stewart, Lothar Redlin, Saleem Watson
Publisher:James Stewart, Lothar Redlin, Saleem Watson
Chapter8: Sequences And Series
Section: Chapter Questions
Problem 8CC
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Inflation causes things to cost more, and for our money to buy less (hence your
grandparents saying "In my day, you could buy a cup of coffee for a nickel"). Suppose
inflation decreases the value of money by 4% each year. In other words, if you have $1
this year, next year it will only buy you $0.96 worth of stuff. How much will $100 buy
you in 15 years?
$
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Transcribed Image Text:) Inflation causes things to cost more, and for our money to buy less (hence your grandparents saying "In my day, you could buy a cup of coffee for a nickel"). Suppose inflation decreases the value of money by 4% each year. In other words, if you have $1 this year, next year it will only buy you $0.96 worth of stuff. How much will $100 buy you in 15 years? $ Question Help: Video Read Calculator Submit Question DET ? - 15 10 ((( + hp fg 19 144 f10 m 112 ✈ Studio So inser
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