Question

Hint: Round your answers in the first row down to the nearest baseball cap. For example, if you find that the deposit will cover 20.7 baseball caps, you would round the purchasing power down to 20 baseball caps under the assumption that Alyssa will not buy seven-tenths of a baseball cap.

Answer 1

Answer:

is equal to 200 baseball caps.

given the following inflation rates, how does the purchasing power of Alyssa change:

inflation rates for 1 year           5%                10%                15%

new price of caps                 $15.75            $16.50           $17.25

in 1 yer Alyssa will have       $3,300           $3,300          $3,300

purchasing power                   209                200               191