Question

To keep pace with a 4% rate of inflation, how much should last years $0.37 stamp cost this year?

Answer 1

$0.26 should be the stamp cost this year.

Answer 2

Answer:this year's cost is $0.3848

Explanation:

Last year the price was $0.37

4% of $0.37=$0.0148

This amount was then added to last year's cost to get this year's cost

Which is $0.0148+$0.37=$0.3848