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David Howell was shopping for a leather jacket. He found one at the department store that was selling for $395. He learned that an inflation rate of 4.5% has occurred since the jacket was originally priced. What was the original price of the jacket?

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David Howell was shopping for a leather jacket and found one on the dept. store that costs 395 dollars.
Now, he learned that an inflation rate of 4.5% has occurred since the jacket was originally priced.
=> 395 dollars * .045 = 17.775
=> 395 dollars - 17.775  = 377.23 is the original price of the jacket.

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