Question

Geraldo recently saw a newspaper ad for a new version of his laptop. the projected price is $400.00, and the laptop will be out on the market in about one year. geraldo wants to purchase a new laptop but is wondering if he should wait a year. with 2.5% inflation, what amount would he pay to purchase a laptop today that is the same value as the one he saw in the ad? responses $390.24 $390.24 $397.30 $397.30 $390.00 $390.00 $397.50

Answer 1

The amount he had to pay if he have to purchase a laptop today that is the same value as the one he saw in the ad is $ 390.24.

Given that:-

Price of the laptop after 1 year = $ 400.

Inflation rate = 2.5 %

We have to find the amount he had to pay if he have to purchase a laptop today that is the same value as the one he saw in the ad.

Let the price he had to pay be x.

Hence, we can write,

x + (x*(2.5)*1)/100 = 400

x(1 + 1/40) = 400

x(41/40) = 400

x = 400*40/41 = $ 16000/41 = $ 390.24.

To learn more about amount, here:-

brainly.com/question/8082054

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