document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1041190>Question 1041190</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Compound interest\r<BR>\n" );
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document.write( "8.  Between 2000 and 2011 the average annual inflation rate was 3%.  Find the salary in 2000 dollars that would be equivalent to a $50,000 salary in 2011.<BR>\n" );
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document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #656168 by </B><A HREF=/tutors/aboutme.mpl?userid=jorel555><B>jorel555(1290)</B></A><img src=\"/images/stars/stars-12.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=jorel555><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=656168\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> If the average inflation rate was 3%, then year 2000 dollars are (1+.03)^11 times that much in the year 2011. So:<BR>\n" );
document.write( "50000/(1.03)^11=$36121.07 in 2000 is equivalent to $50000 in 2011, at an average annual inflation rate of 3%. &#9786;&#9786;&#9786;&#9786; </SPAN>\n" );
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