document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1042207>Question 1042207</A>: <I><SPAN STYLE=\"word-break: break-all;\"> The 2006 price of a certain type of car is $24,600. Estimate the price of the same car in the year 2020.  Assume a constant annual inflation rate of 2.2%. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #657179 by </B><A HREF=/tutors/aboutme.mpl?userid=Boreal><B>Boreal(15235)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Boreal><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/cgi-bin/show-face.mpl?user=Boreal><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=657179\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> End=24,600(1+0.022)^14<BR>\n" );
document.write( "The price would be 24,600*(1+0.022)^14.  That is inflation of 2.2% each year compounded for 14 years. The 14 year is the time from 2006, presumably year 0, and 2020, year 14.<BR>\n" );
document.write( "1.022^14 is 1.356.  Without rounding, which I did here, multiply by 24600.<BR>\n" );
document.write( "The answer is $33,361.66.\r<BR>\n" );
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