If inflation is 3% per year, how much purchasing power will $1,000 have in 5 years? a) $850.23 b) $859.85 c) $871.30 d) $885.70

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 15PROB
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If inflation is 3% per year, how much purchasing
power will $1,000 have in 5 years?
a) $850.23
b) $859.85
c) $871.30
d) $885.70
Transcribed Image Text:If inflation is 3% per year, how much purchasing power will $1,000 have in 5 years? a) $850.23 b) $859.85 c) $871.30 d) $885.70
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