Suppose that the annual rate of inflation averages 4% over the next 10 years. With this rate of inflation, the approximate cost C of goods or services during any year in that decade will be given by ,  where t is time in years and P is the present cost. If the price of an oil change for your car is presently $25.95,

estimate the price 10 years from now. Round your answer to two decimal places.
 

A. $39.95
B. $40.41
C. $41.95
D. $43.41
E. $38.41


Answer: E

Mathematics

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