Your sister hopes to buy a car in five years. Today, this car costs $62,500, but the

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Your sister hopes to buy a car in five years. Today, this car costs $62,500, but the price will certainly increase by 2.9% per year. What's the value of the car at the moment she's going to buy it?

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Macroeconomics Principles, Applications, and Tools

ISBN: 978-0132555234

7th Edition

Authors: Arthur O Sullivan, Steven M. Sheffrin, Stephen J. Perez

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Posted Date: Apr 18, 2023 05:49 AM

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Your sister hopes to buy a car in five years. Today, this car costs $62,500, but the

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Expert Answer:

To calculate the future value of the car we can use the compound interest formula Future Value Pr... View the full answer

Macroeconomics Principles, Applications, and Tools

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