The average cost of a certain model car was 18000 ten years, Financial Management

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The average cost of a certain model car was 18000 ten years

The average cost of a certain model car was $18,000 ten years ago. This year the average cost is $30,000.

a. calculate the average monthly inflation rate fm for this model

b. given the monthly rate fm, what is the effective annual rate, f, of inflation for this model.

c. estimate what these will sell for 10 years from now expressed in today's dollars

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