Table 9-5

-Refer to Table 9-5.Consider the following values of the consumer price index for 2015 and 2016.The inflation rate for 2016 was equal to
A)215 percent.
B)21.5 percent.
C)8.0 percent.
D)3.9 percent.

Question

Table 9-5
 
-Refer to Table 9-5.Consider the following values of the consumer price index for 2015 and 2016.The inflation rate for 2016 was equal to
A)215 percent. 
B)21.5 percent. 
C)8.0 percent. 
D)3.9 percent.

Quizplus · Accepted Answer

The inflation rate can be calculated by taking the difference in CPI from 2015 to 2016, and dividing by the CPI in 2015, then multiplying by 100. 
The difference in CPI from 2015 to 2016 is 394.2 - 379.0 = 15.2. 
Dividing by the CPI in 2015 (379.0) gives 0.04, and multiplying by 100 gives 3.9 percent. Therefore, the correct answer is D.

Table 9-5 -Refer to Table 9-5.Consider the Following Values of the Consumer