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The following table shows a price index base 100 = 2012 in Canada for the four quarters of 2002. Quarter Price Index 1 77.11 2
The following table shows a price index base 100 = 2012 in Canada for the four quarters of 2002. Quarter Price Index 1 77.11 2 78.46 3 78.98 4 79.98 Answer the following questions. Enter only the value, without the % sign or any other symbols. d. The 1971 price index base 100 = 2012 is equal to 17.18 and the annual nominal interest rate between 1971 and 2012 is 11.0% on average. Answer the following questions, expressing your answer in percentage rounded to the nearest first decimal. Use the exact formula. What is the average annual inflation between 1971 and 2012? Number What is the average annual real interest rate between 1971 and 2012? Use your previous answer rounded to the nearest first decimal. Number e. Using the inflation computed in the previous question rounded to the nearest first decimal, calculate the average annual real interest rate between 1971 and 2012 using the approximated formula
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