if someone needed $23,000 to maintain a particular standard of living in 1985, how much would have been…

if someone needed $23,000 to maintain a particular standard of living in 1985, how much would have been needed to maintain the same standard of living in 2014? assume that all prices have risen at the same rate as the cpi.\nhow much would have been needed?\n$ \n(round to the nearest dollar as needed.)\naverage annual consumer price index (cpi) (1982 - 1984 = 100)\nyear cpi year cpi year cpi\n1981 90.9 1995 152.4 2009 214.5\n1982 96.5 1996 156.9 2010 218.1\n1983 99.6 1997 160.5 2011 224.9\n1984 103.9 1998 163.0 2012 229.6\n1985 107.6 1999 166.6 2013 233.0\n1986 109.6 2000 172.2 2014 236.7\n1987 113.6 2001 177.1 2015 237.0\n1988 118.3 2002 179.9 2016 240.0\n1989 124.0 2003 184.0 2017 245.1\n1990 130.7 2004 188.9 2018 251.1\n1991 136.2 2005 195.3 2019 255.7\n1992 140.3 2006 201.6 2020 258.8\n1993 144.5 2007 207.3\n1994 148.2 2008 215.3

if someone needed $23,000 to maintain a particular standard of living in 1985, how much would have been needed to maintain the same standard of living in 2014? assume that all prices have risen at the same rate as the cpi.\nhow much would have been needed?\n$ \n(round to the nearest dollar as needed.)\naverage annual consumer price index (cpi) (1982 - 1984 = 100)\nyear cpi year cpi year cpi\n1981 90.9 1995 152.4 2009 214.5\n1982 96.5 1996 156.9 2010 218.1\n1983 99.6 1997 160.5 2011 224.9\n1984 103.9 1998 163.0 2012 229.6\n1985 107.6 1999 166.6 2013 233.0\n1986 109.6 2000 172.2 2014 236.7\n1987 113.6 2001 177.1 2015 237.0\n1988 118.3 2002 179.9 2016 240.0\n1989 124.0 2003 184.0 2017 245.1\n1990 130.7 2004 188.9 2018 251.1\n1991 136.2 2005 195.3 2019 255.7\n1992 140.3 2006 201.6 2020 258.8\n1993 144.5 2007 207.3\n1994 148.2 2008 215.3

Answer

Explanation:

Step1: Identify CPI values

The CPI in 1985 is 107.6 and in 2014 is 236.7.

Step2: Set up proportion

Let $x$ be the amount needed in 2014. The proportion is $\frac{x}{23000}=\frac{236.7}{107.6}$.

Step3: Solve for $x$

$x = 23000\times\frac{236.7}{107.6}$ $x=\frac{23000\times236.7}{107.6}$ $x=\frac{5444100}{107.6}\approx50605$

Answer:

$50605$