Refer to the following table to answer the next questions:
-As presented in the table, the rate of inflation from 1999-2000 was (rounded to two decimal places):
A) 7.00%.
B) 80.00%.
C) 87.00%.
D) 8.75%.
E) 10.00%.

Question

Refer to the following table to answer the next  questions: 
-As presented in the table, the rate of inflation from 1999-2000 was (rounded to two decimal places):
A) 7.00%. 
B) 80.00%. 
C) 87.00%. 
D) 8.75%. 
E) 10.00%.

Quizplus · Accepted Answer

To calculate the inflation rate, we need to use the formula: ((CPI in current year - CPI in previous year) / CPI in previous year) x 100%
From the table, we can see that the CPI in 1999 was 120 and the CPI in 2000 was 130. 
So, the inflation rate from 1999 to 2000 would be ((130-120)/120) x 100% = 8.33% (rounded to two decimal places). 
Therefore, the closest answer choice is D) 8.75%.

Refer to the Following Table to Answer the Next