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Real value of $100 after 10 years in different inflation rate scenarios:
Scenario 1: Inflation rate = 0%
Real Value in 2029 = $100
Since, inflation is zero, that means the prices, income, purchasing power all remains the same leading to same real value after 10 years.
Scenario 2: Inflation rate = 2%
Real Value in 2029 = $82
We found out this value from table above given
Scenario 3: Inflation rate = 8%
Real Value in 2029 = $46.3
We found out this value from table above given
Annual Inflation Rate Year 2 Percent 4 Percent 6 Percent 8 Percent 10 Percent 2019 $1,000...
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