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A) Suppose that Joe deposits $2,500 into a savings account. If inflation is 1.85% per year and Joe want an increase in the purchasing power

A) Suppose that Joe deposits $2,500 into a savings account. If inflation is 1.85% per year and Joe want an increase in the purchasing power of his deposit to be 2.5%, approximately what interest rate must the savings account pay? Express your answer as a percentage. Make sure to round your answers to the nearest 100th decimal points.

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