You plan to buy a new Mercedes four years from now. Today, a comparable car costs $82,500. You expect the price of the car to increase by an average of 4.8 percent per year over the next four years. How much will your dream car cost by the time you are ready to buy it?

Multiple Choice

• $100,023.16

• $98,340.00

• $98,666.67

• $99,517.41

• None of the options are correct.

• $99,818.02