Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
17th Edition
ISBN: 9780134870069
Author: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher: PEARSON
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Chapter 8, Problem 22P

(a):

To determine

Calculate the present value.

(b):

To determine

Calculate the new present value.

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An electronic device cost $1250 in 2011. If inflation has averaged 2% each year, what is the price of the device in 2018?
QUESTION 9 If total inflation over 18 years is 17.3%, what is the annual inflation rate? Write the answer in percent terms with up to two decimals (e.g., 10.22 for 10.22%, or 2.33 for 2.33%).
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