A 295 Percent TIPS Has an Original Reference CPI of 180

question 57

Multiple Choice

A 2.95 percent TIPS has an original reference CPI of 180.2. If the current CPI is 205.1, what is the current interest payment and par value of the TIPS? (Assume semiannual interest payments and $1,000 par value.)

• A)$878.60, $16.79, respectively
• B)$1,000.00, $29.50, respectively
• C)$1,138.18, $16.79, respectively
• D)$1,138.18, $29.50, respectively

---

Definitions:

Range

The difference between the largest and smallest values in a set of data.

Variance

A measure of variability that describes the spread of a data set or distribution.

Standard Deviation

A measure of the dispersion or variability within a dataset, indicating how spread out the values are from the mean.

Coefficient Of Variation

A consistent way to quantify the variability of a probability or frequency distribution, represented as a proportion of the mean.