Final answer:
To calculate the inflated cost per credit hour at Illinois State University in 2022, based on a 39.50% inflation rate from 2010, the original cost is multiplied by the inflation rate (as a decimal) plus one. This results in an estimated cost of $514.97. This demonstrates the larger issue of the rising costs of higher education.
Step-by-step explanation:
The question asks us to calculate the cost per credit hour at Illinois State University in 2022, based on the given inflation rate from 2010 to 2022. To find the cost in 2022, we first need to calculate the increased amount due to inflation.
To calculate the inflated cost, we use the formula: New Cost = Original Cost × (1 + Inflation Rate). The inflation rate of 39.50% is converted into decimal format by dividing by 100, making it 0.3950.
Applying the formula, we find:
New Cost = $369.23 × (1 + 0.3950)
New Cost = $369.23 × 1.3950
New Cost = $514.97 (rounded to two decimal places)
Therefore, the cost per credit hour in 2022 at Illinois State University, adjusted solely for inflation, would be approximately $514.97.
As the data from the Bureau of Labor Statistics and the College Board indicate, financing higher education has become increasingly challenging for students and their families, with costs outpacing median household income growth and minimum wage earnings.