Question

Suppose an item cost $6.99 in 1977. What would have been the equivalent cost in 2017?

Answer 1

Step-by-step explanation:

In 1977, the cpi value is

`60.600`

In 2017 the cpi value is

`245.120`

To figure out the cost of the value in 2017, we will interpolate below

`\begin{gathered} 60.600=245.120 \\ 6.99=x \\ cross\text{ multiply, we will have} \\ 60.6x=6.99*245.120 \\ (60.6x)/(60.6)=(1713.3888)/(60.6) \\ x=28.27 \end{gathered}`

Hence,

The final answer is

`\Rightarrow\text{ \$}28.27`