1. Please help me to answer this with solution. thank you Lorikeet Corporation has a foreign subsidiary located in a country experiencing high ratesof inflation. Information concerning this country'sinflation rate experience if given below:Date Index Change in index Annual rate of inflation1/1/20x7 90 -1/1/20x8 120 30 30/100 = 30.00%1/1/20x9 150 30 30/130=23.08%1/1/20x0 210 60 60/160=37.50%The inflation rate in 20x0 that is used in determining if the subsidiary is operating in a highlyinflationary economy is:

Inflation is defined as a rate at which the value of a currency in an economy is falling, while the…

Answered: Lorikeet Corporation has a foreign…

Lorikeet Corporation has a foreign subsidiary located in a country experiencing high rates of inflation. Information concerning this country's inflation rate experience if given below:

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter7: Unemployment And Inflation

Section: Chapter Questions

Problem 3.7P

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Question

1. Please help me to answer this with solution. thank you

Lorikeet Corporation has a foreign subsidiary located in a country experiencing high rates
of inflation. Information concerning this country's
inflation rate experience if given below:
Date Index Change in index Annual rate of inflation
1/1/20x7 90 -
1/1/20x8 120 30 30/100 = 30.00%
1/1/20x9 150 30 30/130=23.08%
1/1/20x0 210 60 60/160=37.50%
The inflation rate in 20x0 that is used in determining if the subsidiary is operating in a highly
inflationary economy is:

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