If the Price Index in Year 1 Is 115 and the Price

question 81

Multiple Choice

If the price index in Year 1 is 115 and the price index in Year 2 is 120, the rate of inflation between Year 1 and Year 2 is:

• A) 4.3%.
• B) 15%.
• C) 10.7%.
• D) 1.2%.

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