During a Certain Year,the Consumer Price Index Increased from 120

question 83

Multiple Choice

During a certain year,the consumer price index increased from 120 to 132 and the purchasing power of a person's bank account increased by 4 percent.For that year,

• A)the nominal interest rate was 6 percent.
• B)the nominal interest rate was 14 percent.
• C)the inflation rate was 12 percent.
• D)the inflation rate was 9 percent.