Problem
Dale saw that the campus bookstore is having a special on pads of computation paper normally priced at $3 a pad, now on sale for $2.50 a pad. This sale is unusual and Dale assumes the paper will not be put on sale again. On the other hand, Dale expects that there will be no increase in the $3 regular price, even though the inflation rate is 2% every 3 months. Dale believes that competition in the paper industry will keep wholesale and retail prices constant. He uses a pad of computation paper every 3 months. Dale considers 19.25% a suitable minimum attractive rate of return. Dale will buy one pad of paper for his immediate needs. How many extra pads of computation paper should he buy?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.