An inflation math problem.

Question

In 1976, a certain model of car cost $5,000. What would be the cost of that car in 2012 dollars? How does this compare to the actual cost of a typical new car is 2012?

Answer 1

5000(1+r1) (1+r2)(1+r3)(1+r4)(1+r5)...(1+r37)

where r1,r2,r3,...,r37 are the inflation rates for 1976, 1977, 1978, ... 2012