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Suppose you invest $130,000 today and in 2 years have $200,000. At the time of your investment the Consumer Price Index (CPI) is 109. Assume

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Suppose you invest $130,000 today and in 2 years have $200,000. At the time of your investment the Consumer Price Index (CPI) is 109. Assume that in 2 years the CPI is 186. (answer to two decimals, eg, 12.34%) a. What is your nominal annual rate of return? 1% b. What is your real annual rate of return? [% c. What is the average annual inflation rate? 90

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