Suppose coal experiences a 3% increase per year in real terms over the foreseeable future. The I
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a. What will be the cost in real terms of 1,000 cubic feet of coal in 20 years?
b. If the general price inflation rate for the next 20 years is expected to average 4% per year, what will 1,000 cubic feet of coal cost in actual dollars 20 years from now?
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Related Book For 
Engineering Economy
ISBN: 978-0132554909
15th edition
Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
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