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Each Month, Lydia Typically Purchases 12 Sodas, Seven Hot-Dogs, Five

Question 95

Short Answer

Each month, Lydia typically purchases 12 sodas, seven hot-dogs, five ice-cream cones, eight salads, and four roast chickens. Two years ago, Lydia paid $1.50 for each soda, $2.50 for each hot-dog, $4 for each ice-cream cone, $9 for each salad, and $7.99 for each roast chicken. Today, Lydia pays $1.75 for each soda, $3 for each hot dog, $4.50 for each ice-cream, $9 for each salad, and $8.99 for each roast chicken.
(a) How much did Lydia's purchases cost her two years ago?
(b) How much is Lydia paying for her purchases today?
(c) How much inflation or deflation is Lydia experiencing?

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