The Consumer Price Data Can Be Modeled by the Function

question 142

Multiple Choice

The consumer price data can be modeled by the function , where represents 1945 and is the consumer price index (CPI) in year . During what year does the model predict that the rate of change of the CPI reached its maximum? ​

• A)1955
• B)1981
• C)1996
• D)1977
• E)1947

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Definitions:

Compounded Monthly

Interest on an investment or loan is calculated and added to the principal amount at the end of each month.

Compounded Annually

An interest calculation method where interest is added to the principal sum once every year, resulting in interest earning interest.

Personal Loans

Unsecured loans given to individuals based on their credit history and income, rather than requiring collateral.

Effective Rate

The interest rate on a loan or financial product, restated from the nominal rate as an annual rate accounting for compound interest.