(Table 5: Price Index for Macroland) Table 5 provides the price index for Macroland for four years. What was the inflation rate in Macroland during year 4?
$\begin{array}{l}
\text { Table 5: Price Index for Macroland }\
\begin{array}{|c|c|c|c|c|}
\hline & \text { Year 1 } & \text { Year 2 } & \text { Year 3 } & \text { Year 4 } \
\hline \text { Price index } & 140 & 150 & 158 & 162 \
\hline
\end{array}
\end{array}$
A) 5.7%
B) 2.5%
C) 4.0%
D) 15.7%

Question

(Table 5: Price Index for Macroland) Table 5 provides the price index for Macroland for four years. What was the inflation rate in Macroland during year 4?
 $\begin{array}{l}
\text { Table 5: Price Index for Macroland }\
\begin{array}{|c|c|c|c|c|}
\hline & \text { Year 1 } & \text { Year 2 } & \text { Year 3 } & \text { Year 4 } \
\hline \text { Price index } & 140 & 150 & 158 & 162 \
\hline
\end{array}
\end{array}$
A) 5.7%
B) 2.5%
C) 4.0%
D) 15.7%

Quizplus · Accepted Answer

The inflation rate for year 4 can be calculated using the formula: $\frac{\text{Price Index in Year 4} - \text{Price Index in Year 3}}{\text{Price Index in Year 3}} \times 100$. Substituting the given values, $\frac{162 - 158}{158} \times 100 = 2.53\%$, which rounds to 2.5%.

(Table 5: Price Index for Macroland) Table 5 Provides the Price