The following table represents the nominal values of an item and the corresponding price index for 2007

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The following table represents the nominal values of an item and the corresponding price index for 2007 and 2008.

Year............... Nominal Value.............. Price Index

2007............................... 38...................... 112

2008............................... 40...................... 120

a. Compute the inflation rate for 2008.

b. Compute the annual percentage change of the item in real terms?

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Business Statistics Communicating With Numbers

ISBN: 9780078020551

2nd Edition

Authors: Sanjiv Jaggia, Alison Kelly

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Question Posted: Dec 20, 2016 09:54 AM

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The following table represents the nominal values of an item and the corresponding price index for 2007

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a The inflation rate for 2008 is b The real v...View the full answer

Business Statistics Communicating With Numbers

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