When inflation causes the price of an item to increase, the new cost C and the original cost c are related by the formula C = c(1 + r)”, where r is the rate of inflation per year as a decimal and n is the number of years. What would be the price of a $2000 item after six months of 5% inflation?

You just purchased two coins at a price of $670 each. because one of the coins is more collectible, you believe that its value will increase at a rate of 7.1 percent per year, while you believe the second coin will only increase at 6.5 percent per year. if you are correct, how much more will the first coin be worth in 15 years?