Question: a) The table below represents the CPI indices (base period 1982-1984 =100) for urban consumers in US cities. Determine the general inflation rate between 2013

 a) The table below represents the CPI indices (base period 1982-1984

a) The table below represents the CPI indices (base period 1982-1984 =100) for urban consumers in US cities. Determine the general inflation rate between 2013 and 2018. Base Calendar Year CPI 0 2013 233.0 1 2014 236.8 2 2015 237.0 2016 240.0 4 2017 245.1 2018 252.0 b) A proposed project that requires an investment of $10,000 (now; t-0) is expected to generate a series of five equal revenue payments ($6,000 each in constant dollars). Assume that the average inflation rate (f) is 3% and the market interest rate (i) is 10% during the inflationary period. What is the equivalent present worth at t-0 of this initial investment and equal payments? (You may need i' to do this...)

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