Question

RDT&EN (COMPOSITE) Research, Development, Test & Evaluation, Navy (1319) NAVY Base Year = 2015 Fiscal Raw Weighted Year Index Index 2012 0.96030 .9637 2013 0.9746 0.9737 2014 0.9891 0.9875 2015 1.0000 1.0000 2016 1.0120 1.0162 2017 1.0302 1.0347 2018 1.0487 1.0547 2019 1.0697 1.0757 2020 1.0910 1.0972 You estimated that a Naval communications research contract will cost $375.0 K (CY17). You plan to award this 12-month contract in 2020. Using inflation indices from the table, what should your budget request be in TY dollars? O $395.4K O None of these are correct. O $352.1K O $399.4 K

Answer 1

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Answer:

To convert CY to TY, we divide by the raw index value of the year of 2017 we are converting from and then multiply by the weighted index value of the year (2020) we plan to expend the funding.

So=> 375,000 / 1.0302 * 1.0972 = 399,388 ~ 399.4K