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Dave Knits Ski Caps with Tassels at a Negligible Cost

Question 165

Multiple Choice

Dave knits ski caps with tassels at a negligible cost.He sells 4 percent more caps this year than last year.The market price this year is 1 percent lower than last year.Which inflation rate makes Dave as well off this year as last year?


A) 1 percent
B) 2 percent
C) 3 percent
D) 4 percent

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