Use the following to answer questions:
-(Table: The Consumer Price Index)Use Table: The Consumer Price Index.The approximate rate of inflation in year 5 is:
A) 25%.
B) 10%.
C) 19%.
D) 20%.

Question

Use the following to answer questions: 
-(Table: The Consumer Price Index)Use Table: The Consumer Price Index.The approximate rate of inflation in year 5 is:
A) 25%. 
B) 10%. 
C) 19%. 
D) 20%.

Quizplus · Accepted Answer

The rate of inflation is calculated by the formula: [(CPI in Year 5 - CPI in Year 4) / CPI in Year 4] * 100%. Without the actual CPI values, we assume the calculation leads to approximately 20%.

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