Table 5.5
-Refer to Table 5.5.Consider the above values of the consumer price index for 2016 and 2017.The inflation rate for 2017 was equal to
A)215 percent.
B)21.5 percent.
C)8.0 percent.
D)3.9 percent.
E)2.5 percent.

Question

Table 5.5 
-Refer to Table 5.5.Consider the above values of the consumer price index for 2016 and 2017.The inflation rate for 2017 was equal to
A)215 percent. 
B)21.5 percent. 
C)8.0 percent. 
D)3.9 percent. 
E)2.5 percent.

Quizplus · Accepted Answer

To calculate inflation rate, we use the formula: (CPI in final year - CPI in initial year) / CPI in initial year x 100. 
Using this formula, we get: (240-231)/231 x 100 = 3.9%
Therefore, the inflation rate for 2017 was 3.9%. Answer choice D is correct.

Table 5.5 -Refer to Table 5.5.Consider the Above Values of the Consumer