An investment had a nominal return of 11.8 percent last year. If the real return on the investment was only 8.7 percent, what was the inflation rate for the year
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An investment had a nominal return of 11.8 percent last year. If the real
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- An investment had a nominal return of 10.6percent last year. If the real return on investment was only 6.3 percent, what was the inflation rate for the year? a. 17.57% b. 3.89% c. 10.73% d. 4.49%The value of your investment increased by 9.77% last year, and your purchasing power decreased by 1.22%. What was the approximate inflation rate?If the velocity of circulation is constant, real GDP is growing at 3 percent a year, the real interest rate is 2 percent a year, and the nominal interest rate is 7 percent a year, calculate the inflation rate, the growth rate of money, and the growth rate of nominal GDP.
- An investment offers a total return of 17 percent over the coming year. Janice Yellen thinks the total real return on this investment will be only 13 percent. What does Janice believe the inflation rate will be over the next year?An investment offers a total return of 13.8 percent over the coming year. You believe the total real return will be only 9.4 percent. What do you believe the exact inflation rate will be for the next year? Please show how to solve this by using Excel, thank you.If an investment grew by 9% while it had a change in purchasing power of 7%, what was the inflation rate over the period? (Convert your answer to a percent but enter numbers only in your response.)
- Your investments increased in value by 14.2 percent last year but your purchasing power increased by only 5.4 percent. What was the approximate inflation rate?Say you own an asset that had a total return last year of 10.4 percent. If the inflation rate last year was 4.3 percent, what was your real return?An investment offers a 10% total (nominal) return over the coming year. Bill Morneau thinks the total real return on this investment will be only 6%. What does Morneau believe the inflation rate will be over the next year?
- a) You invest 155 000 TL for a year. At the end the year, you have 174 375 TL net in your account. If the inflation realizes at %10 fot this year, calculate real rate of return? Can real interest rates be negative? Give a simple example?If you receive a total return of 8% on your investment portfolio but inflation is running at 5% per year, what is your real rate of return?For prices that are increasing at an annual rateof 5% the first year and 8% the second year, determine the average inflation rate ( f ) over the twoyears.