CPI FOR 2013 AND FOR 5 YEARS FORM NOW 2018. PROJECT THE PRICE 5 YEARS FROM NOW ON DD COFFE @ $2.04/PER CUP IN 2013. WHAT WILL IT BE IN 2018?
no idea what the cpi is.
If it is 1.5, then the price will be 1.5 * 2.04 = 3.06
So, look up the cpi and how it is calculated. For example, if the cpi for 2013 is based on 1963 dollars, and is 8.47, then that means that in the last 40 years prices have gone up an average of 8.47^(1/40) = 1.054 or 5.4% each year.
So, take the $2.04 and multiply it by 1.054^5 to estimate how much prices will rise in the next 5 years, at that same rate.