Refer to the information provided in Table 7.5 below to answer the questions that follow.
Table 7.5
-Refer to Table 7.5. If 2014 is the base year, the inflation rate between 2014 and 2015 is ________%, and the inflation rate between 2015 and 2016 is ________%.
A) 7.4; 13.9
B) 6.1; 16.1
C) 3.9; 17.1
D) 10.2; 10.4

Question

Refer to the information provided in Table 7.5 below to answer the questions that follow.
Table 7.5 
-Refer to Table 7.5. If 2014 is the base year, the inflation rate between 2014 and 2015 is ________%, and the inflation rate between 2015 and 2016 is ________%.
A) 7.4; 13.9 
B) 6.1; 16.1 
C) 3.9; 17.1 
D) 10.2; 10.4

Quizplus · Accepted Answer

To calculate the inflation rate between two years, we use the formula: 
[(Price Index in Year 2 - Price Index in Year 1) ÷ Price Index in Year 1] x 100
Using the data from Table 7.5:
Inflation rate between 2014 and 2015 = [(107 - 101) ÷ 101] x 100 = 5.94 or approximately 6.1%
Inflation rate between 2015 and 2016 = [(121 - 104) ÷ 104] x 100 = 16.35 or approximately 16.1%
Therefore, the answer is B.

Refer to the Information Provided in Table 7