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OpenStudy (anonymous):
The inflation rate of the u.s. dollar is 3.1 percent. what this means is that every year, prices increase by 3.1 percent. If a paperback book costs $1.98 three years ago, what does it cost now?
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OpenStudy (rulnick):
$1.98(1.031)^3 = $1.98(1.095913) = $2.17.
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