In Which Case Below Does a Person's Purchasing Power from Saving

question 114

Multiple Choice

In which case below does a person's purchasing power from saving increase the most?

• A)the nominal interest rate = 10% and inflation = 8%
• B)the nominal interest rate = 9% and inflation = 6%
• C)the nominal interest rate = 8% and inflation = 4%
• D)the nominal interest rate = 7% and inflation = 2%

---

Definitions:

Designer Clothes

High-quality, fashionable garments created by well-known fashion designers, often associated with luxury and exclusivity.

Affordable

Characterized by being within one's financial means; reasonably priced so that it can be purchased or acquired by the intended target market.

Storyboard

An easy form of prototyping that provides a high-level view of thoughts and ideas arranged in sequence in the form of drawings, sketches, or illustrations.

Lengthy, Detailed Document

A document that provides an extensive and comprehensive detail on a specific topic, often used for planning, reporting, or research purposes.