If the value of the price index was 120 in 2009 and 150 in 2010, then what was the inﬂation rate in 2010?
A) 30%
B) 25%
C) 20%
D) 10%

Name: If the value of the price index was 120 in 2009 and 150 in 2010, then what was the inﬂation rate in 2010? A) 30% B) 25% C) 20% D) 10%
Brand: Quizplus
Rating: 4.8 (42 reviews)

Question

Quizplus · Accepted Answer

The inflation rate is calculated as the percentage change in the price index from one year to the next. The formula is [(Price Index in 2010 - Price Index in 2009) / Price Index in 2009] * 100 = [(150 - 120) / 120] * 100 = 25%.

If the Value of the Price Index Was 120 in 2009