You can accumulate $10,000 in five years at 10% real interest rate. Now assume that there is a 5% annual inflation during that period. By how much the value of your $10,000 decreases in terms of todays dollars?

Question 28 options:

A) $2,164.74

B) $1,550.00

C) $1,344.13

D) $3,164.84

E) $500.00