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    Over the Past Year, You Earned a Nominal Rate of Interest
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Over the Past Year, You Earned a Nominal Rate of Interest

Question 1

Question 1

Multiple Choice

Over the past year, you earned a nominal rate of interest of 8% on your money.The inflation rate was 3.5% over the same period.The exact actual growth rate of your purchasing power was


A) 15.55%.
B) 4.35%.
C) 5.02%.
D) 4.81%.

Correct Answer:

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