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Imagine you borrow $600 fern your foommate, agreeing to pay her back $600 phus 9 percent nominal interest in one year. Assume inflation over the
Imagine you borrow $600 fern your foommate, agreeing to pay her back $600 phus 9 percent nominal interest in one year. Assume inflation over the lfe of the contract is expected to be 5.00 percent. What is the total dollar amount you will have to pay her back in a Year? What approwimate percentage of the interest payment is the result of the real rate of interest? Use the simplified Fisher: equation (Do not round intermediate calculations. Round answers to 2 decimal ploces, ez 17.54 ) Excel Template (Note: This template includes the problem statement as it appears in your textbook. The problem assigned to you here muy have different values. When using this template, copy the problem statement from this screen for easy reference to the values you've been siven here, and be sure to update any values that may have been pre-entered in the template based on the textbook versian of the problem) Aoprowimate percentage of interest attributable to the real rate of interest
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