The Nominal Rate of Return on a Bond Is 7

question 9

Multiple Choice

The nominal rate of return on a bond is 7.28 percent while the real rate is 3.09 percent.What is the rate of inflation?

• A)4.06 percent
• B)4.28 percent
• C)4.09 percent
• D)4.13 percent
• E)4.17 percent