A machine cost $2,550 on January 1, 2000, and $3,930 on January 1, 2004. The average inflation

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A machine cost $2,550 on January 1, 2000, and $3,930 on January 1, 2004. The average inflation rate over these four years was 7% per year. What is the true percentage increase in the cost of the machine from 2000 to 2004?

(a) 14.95%

(b) 54.12%

(d) 17.58%

(e) 35.11%

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Engineering Economy

ISBN: 978-0133439274

16th edition

Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

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Question Posted: Dec 06, 2018 08:44 AM

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A machine cost $2,550 on January 1, 2000, and $3,930 on January 1, 2004. The average inflation

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Engineering Economy

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