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Luw percent d. Canadas CPI in 2016 was 128.4 and in 2017 was 130.4. The rate of inflation during that one-year pe place.) e.
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d.
Inflation rate can be calculated as a percentage change in CPI from the previous year . Inflation means the rise in the general price level during a period of time. CPI incorporates the money required to buy a specified basket of goods in the specific year
Inflation rate =(( CPI in second period - CPI in previous period ))/CPI in previous period) * 100

CPI in 2016 =128.4
CPI in 2017 =130.4
Change = 130.4-128.4
=2

Inflation rate = (2/128.4)*100
=1.55 %

e. The Price that is paid to borrow money for a stated period of time is called INTEREST. It is a part of the payment and is calculated as a percentage of the borrowed amount known as the PRINCIPAL.

f. THe real interest is equal to the nominal interest MINUS the rate of inflation.The real interest removes the impact of inflation o the interest rate and shows the actual cost borne by the borrower .

PLease rate the answer

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