A bond has a nominal rate of return of $5\mathrm{.}87\%$ and the inflation rate is $4\mathrm{.}13\%.$ What is the approximate real rate?

Question $6$ options:

$1\mathrm{.}62\%$

$1\mathrm{.}70\%$

$1\mathrm{.}74\%$

$1\mathrm{.}83\%$

$1\mathrm{.}88\%$