A 325 Percent TIPS Has an Original Reference CPI of 194

question 97

Multiple Choice

A 3.25 percent TIPS has an original reference CPI of 194.1. If the current CPI is 210.3, what is the current interest payment? (Assume semiannual interest payments and a par value of $1,000.)

• A) $15.00
• B) $16.25
• C) $17.61
• D) $31.54

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Definitions:

Original Memory

The initial encoding of information into the memory system, before any subsequent alterations or modifications.

Misleading Information

Incorrect or deceptive information that leads to false conclusions or understanding.

Cue-dependent

Relating to the phenomenon where recall of information is enhanced if retrieval occurs in a context similar to the one where the information was encoded.

Childhood Amnesia

The inability to remember events and experiences that occurred during the first 2 or 3 years of life.