each august, a restaurants rent is adjusted to the cost-of-living index. the rent has been $1,550 a month…

each august, a restaurants rent is adjusted to the cost-of-living index. the rent has been $1,550 a month, and the cost-of-living index for this august was 3.7%. what is the new rent per month?\na $1,594.28\nb $1,607.35\nc $2,123.50\nd $5,735.00

each august, a restaurants rent is adjusted to the cost-of-living index. the rent has been $1,550 a month, and the cost-of-living index for this august was 3.7%. what is the new rent per month?\na $1,594.28\nb $1,607.35\nc $2,123.50\nd $5,735.00

Answer

Explanation:

Step1: Convert percentage to decimal

$3.7% = \frac{3.7}{100} = 0.037$

Step2: Calculate rent increase amount

$$1,550 \times 0.037 = $57.35$

Step3: Compute new monthly rent

$$1,550 + $57.35 = $1,607.35$

Answer:

B. $1,607.35