Katarina puts money into an account. One year later she sees that she has 6 percent more dollars and that her money will buy 4 percent more goods. The nominal interest rate was
A) 10 percent and the inflation rate was 6 percent.
B) 6 percent and the inflation rate was 2 percent.
C) 4 percent and the inflation rate was 2 percent.
D) 10 percent and the inflation rate was 4 percent.
Correct Answer:
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