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7. Gretchen had $10,000 to invest (Real time 0 $ at time 0). The market rate was 12%. After 10 years her investment was worth

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7. Gretchen had $10,000 to invest (Real time 0 $ at time 0). The market rate was 12%. After 10 years her investment was worth $22018 in Real time 0 dollars (Real time 0 $ at time n). What was inflation for the 10 years of the investment? NOTE: Remember the relationship: R base (t) $ at (t) R base (t) $ at (n) { ffor 0 periods f for Jn- t periods A$ at (t) A$ at (n) n Time A. 0.0% B. 3.5% C. 3.8% D. 8.2%

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