If the market interest rate is 12% per year and the inflation rate is 5% per year,

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If the market interest rate is 12% per year and the inflation rate is 5% per year, the number of future dollars in year 7 that will be equivalent to $2000 now can be determined by the relation:

a. F  2000(1  0.176)7

b. F  2000/(1  0.176)7

c. F  2000(1  0.120)7

d. F  2000(1  0.198)

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Basics Of Engineering Economy

ISBN: 9780073376356

2nd Edition

Authors: Leland T. Blank, Anthony Tarquin

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