The problem is:
"Which would be the price, in Mexican Pesos (MXN) that would have a car in five years, if its actual value is US 28,567? Consider that its price increments in a 1.2% each semester and that the currency (MXN) is devalued by 12% each month, the current dollar rate is $12.80 (Cost in MXN per dollar).
My Solution:
As the price of the car increments itself in a 1.2% each semester, in five years (10 semesters) its price would be:
$$m(1+x)^n$$
Where $m$ is the actual value, $x$ is the %, and $n$ is the period of times" so:
$$28,657(1+0.012)^{10}=32,186$$
In the other hand, the devaluation of the MXN by 0.37% each month implieas that the dollar increases in the same %, so, the dollar rate in five years (60 month) will be:
$$12.86(1+0.0037)^{60}=15.975$$
So, the convertion to MXN would be the product of this two values:
$$(32,186)(15.975)=514,179.9983 MXN$$