Sara and Branden each receive $25,000 from their great-aunt. Sara is worried about inflation over the next 5 years, and decides to place her money into an inflation protected account earning a real force of interest of 6.9%. On the other hand, Branden thinks the inflation rate will be low over the next 5 years, so decides to place his money into a regular account earning interest at 11.8% compounded monthly If the actual annual effective rate of inflation turns out to be 3.5%, calculate the ratio of Sara 's purchasing power to Branden 's purchasing power. Answer to 3 decimal places 0.561 What would the annual effective rate of inflation need to be for the purchasing powers to be equal? Answer as a decimal to 4 places. *