The movie "Return of the Jedi" earned $264 million in 1983 when it was released.The CPI in 1983 was 97.8 and the CPI in 2012 was 226.665.Approximately how much did the movie earn in 2012 dollars?
A) $590 million
B) $612 million
C) $2.12 million
D) $123 million
E) $150 million

Question

Quizplus · Accepted Answer

We can use the inflation formula to calculate the movie's earnings in 2012 dollars:

Amount in 2012 dollars = Amount in 1983 dollars x (CPI in 2012 / CPI in 1983)

Amount in 2012 dollars = $264 million x (226.665 / 97.8)

Amount in 2012 dollars = $612.32 million

Therefore, the movie "Return of the Jedi" earned approximately $612 million in 2012 dollars. The closest answer choice is B.

The Movie "Return of the Jedi" Earned $264 Million in 1983