Question

An item costs $500 at time t=0 and costs $P in year t. When inflammation is r% per year, the price is given by P = 500e^(rt/100) a) if r is a constant, at what rate is the price rising ( in dollars per year) 1) initially 2) after 2 years b)now suppose that r is increasing by 0.3 per year when r=4 and t=2. At what rate is the price increasing at that time?