Question 1131151
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An annual rate of inflation of 4.6% as a decimal is 0.046.<br>
The GROWTH FACTOR per year is then 1 plus 0.046, or 1.046.<br>
The growth factor for 3 years is (1.046)^3.<br>
Multiply the $110 cost of the groceries in 2005 by that growth factor to find the cost in 2008.<br>
Use your calculator; it will give the same answer as mine.