Question: It says that answer A is correct. However, why didn't we calculate it this way instead?: 5 0 0 0 0 0 + 5 0

It says that answer A is correct. However, why didn't we calculate it this way instead?: 500000+500000(1+3%)^2+500000(1+3%)^3(as in why does "the next three years" mean years 0,1,2 and not 1,2,3?30) Your forecast shows $500,000 annually in sales for each of the next 3 years. If your
second and third year predictions have failed to incorporate the 3% expected annual inflation, how far off in total dollar sales is your 3-year forecast?
A) $45,450 B) $60,900 C) $52,550 D) $76,250

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