If the Nominal Interest Rate Is 14 Percent and the Real

question 42

Multiple Choice

If the nominal interest rate is 14 percent and the real interest rate is 2 percent,what is the inflation rate?

• A) 4 percent
• B) 6 percent
• C) 12 percent
• D) 16 percent

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Definitions:

Organic Chemistry

A field of chemistry focused on analyzing the formation, characteristics, make-up, responses, and creation of compounds that include carbon.

N-butanol

An alcohol with a four-carbon chain, commonly used as a solvent and in the synthesis of various organic compounds.

Tert-butanol

A tertiary alcohol with the formula (CH3)3COH, known for its high octane number and as a solvent or chemical intermediate.

Sample

A small part or quantity intended to show what the whole is like.