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This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.

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February 12, 2018 at 5:45 am #436512
katalina
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June 2014 Q2 Sales were supposed to be inflated by 8% and direct project cost by 4% please tutor can you shown me the mathematical side of it because when i solve it am finding different figure
may be there is something am missing please assist the other part am okey with it
February 12, 2018 at 8:11 am #436529
John Moffat
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Sales:
Year 1: 23.03 x 1.08 = 24.87
Year 2: 36.60 x 1.08^2 = 42.69
Year 3: 49.07 x 1.08^3 = 61.81
Year 4: 27.14 x 1.08^4 = 36.92
It is exactly the same approach for the direct project costs, with 4% inflation.
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