cenario: Market Basket

Suppose a market basket consists of the following goods: 50 pens, 30 notepads, and 25 paperclips. Also assume the price per unit of these goods is as follows for the years noted and 2010 is the base year.

Price in 2010

Price in 2011

Pens

$0.25

$0.30

Notepads

0.30

0.45

Paperclips

0.12

0.15

Reference: Ref 11-14

(Scenario: Market Basket) What is the rate of inflation in 2011?

A.34.54%

B.23.7%

C.32.65%

D.22.2%

E.30.44%