Cost of Goods in Previous Years

**kwallace43** · 01-15-2010, 06:56 PM

I need help figuring out a good formula for calculating the cost of a good in prior periods. If the good cost $99 in 2009, how much would it cost in 2004, 2003, etc. assuming 3% inflation.

**pike** · 01-15-2010, 07:22 PM

Hi kwallace43
what is the basic formula you have?

c1=B1+(B12*A1)
where A1 = -3%
B1 = $99

**shg** · 01-15-2010, 07:40 PM

Like this:

      -A-- --B--- -C-- -D-- --E--- ------------F-------------
  1   Year Price  Rate Year Price                            
  2   2009 $99.00   3% 2003 $82.91 E2: =B2 * (1+C2) ^ (D2-A2)