The following table shows the annual rate of inflation over a 5-year period.
                                        2000    2001     2002     2003     2004
Annual rate of inflation     1.8%    2.1%    2.9%     2.4%     2.7%
If the nominal price of the house at the end of 2000 was $10.8 million, find the price housing prices adjusted to the prices prevailing at the end of the year 2003. Round your answer to three important characters.

Answer rating: 100% (QA)

To adjust the nominal price of the house at the end of 2000 to the prices prevailing at ... View the full answer