You Observe That the Inflation Rate in the United States

You observe that the inflation rate in the United States is 3.5 percent per year and that T-bills currently yield 3.8 percent annually.What do you estimate the inflation rate to be in Australia,if short-term Australian government securities yield 4.5 percent per year?

A) 4.17 percent
B) 4.20 percent
C) 4.24 percent
D) 4.27 percent
E) 4.30 percent