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What is this question really asking regarding the cost to build a plant-building = C

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T=14, annual inflation is A, how much will the plant cost in T years

I dont know which TVM formula to use. I"m confused. Help!

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  1. If it costs C to build the plant today and the annual inflation is A, then in T=14 years cost to build the same plant will be = C * (1 + A)^T = C *    (1+A)^14

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