Question: You are helping XY Co. making some estimates. A certain index for the cost of purchasing and installing utility boilers is keyed to 1991, where

You are helping XY Co. making some estimates. A certain index for the cost of purchasing and installing utility boilers is keyed to 1991, where its baseline value was arbitrarily set at 100. Company XY installed a 50,000-lb/hour boiler for $525,000 in 2003 when the index had a value of 468. The XY same company must install another boiler of the same size in 2017. The index in 2017 is 542.

What is the approximate cost of the new boiler?

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