1 answer

Please help me with how to arrange and solve this problem

Question:

Please help me with how to arrange and solve this problem
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Answers

Answer is d. 9.2%
Explanation:
Real return: 3.25%
Inflation rate: 5.75%
Nominal Rate of return = (1+ Real return) (1+ Inflation rate) - 1
(1+0.0325) (1+0.0575) -1 =9.187%
.

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