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John wants to compute the inflation rate implied by Stock A's returns over the prior year. During this period, Stock A provided a nominal and

John wants to compute the inflation rate implied by Stock A's returns over the prior year. During this period, Stock A provided a nominal and real rate of return of 14.84% and 6.65%, respectively. (John knows the rough approximation of the inflation rate is 8.19%, but would like a more precise estimate.)

A.

8.89%

B.

7.68%

C.

8.03%

D.

9.12%

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