Suppose at the Beginning of 2011,I Loaned Out $100 and at the End

question 143

Essay

Suppose at the beginning of 2011,I loaned out $100 and at the end of the year was paid back $108.The inflation rate during the year was 3 percent.
(A)What was the stated interest rate?
(B)What was the real interest rate?

---

Definitions:

Atypical

Atypical refers to something that is not typical or usual; in medical or psychological contexts, it often describes conditions, behaviors, or responses that deviate from the norm.

Prison Guard

An individual responsible for the supervision, safety, and security of prisoners in a jail or prison.

Frequency Judgments

refer to the assessments or estimations made by individuals about how often an event occurs or how common a particular item or situation is.

Categorization Judgments

The mental process of grouping objects, people, or ideas into categories based on shared characteristics, facilitating understanding and memory.