rate If your nominal of return is 14.38 percent and your real rate of return is 4.97 percent,what is the inflation rate?

Name: rate If your nominal of return is 14.38 percent and your real rate of return is 4.97 percent,what is the inflation rate?
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Question

Quizplus · Accepted Answer

The inflation rate can be calculated using the Fisher equation: (1 + nominal rate) = (1 + real rate) * (1 + inflation rate). Solving for the inflation rate gives approximately 8.96 percent.

Rate If Your Nominal of Return Is 14