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  • Problem 5 Problem 6: K 3.5% Inflation 4.5% 4.0% 2 3.0% 0.5% K 3.5% 0.5% 4.5% 4.0% 0.8% 0.8% 4 + 5

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    Vivienne Rozenn Layto
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    The document shows inflation rates and interest rates (k) for different time periods. Problem 5 lists inflation at 4.5% and interest rates of 3.5%, 4%, 3%, 0.5%, and 0.5% adding to 11.5%. Problem 6 shows inflation at 4.5% and rates of 3.5%, 4.5%, 0.8%, and 0.8% adding to 13.5%. Problem 7 gives inflation as 4.5% for a two-year note and 5% for a three-year note, with interest rates of 1.5%, the inflation rate, and 0.2% or 0.3% respectively, adding to 6.2% and 6.8

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    The document shows inflation rates and interest rates (k) for different time periods. Problem 5 lists inflation at 4.5% and interest rates of 3.5%, 4%, 3%, 0.5%, and 0.5% adding to 11.5%. Problem 6 shows inflation at 4.5% and rates of 3.5%, 4.5%, 0.8%, and 0.8% adding to 13.5%. Problem 7 gives inflation as 4.5% for a two-year note and 5% for a three-year note, with interest rates of 1.5%, the inflation rate, and 0.2% or 0.3% respectively, adding to 6.2% and 6.8

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    Problem 5 Problem 6: K 3.5% Inflation 4.5% 4.0% 2 3.0% 0.5% K 3.5% 0.5% 4.5% 4.0% 0.8% 0.8% 4 + 5

    Uploaded by

    Vivienne Rozenn Layto
    The document shows inflation rates and interest rates (k) for different time periods. Problem 5 lists inflation at 4.5% and interest rates of 3.5%, 4%, 3%, 0.5%, and 0.5% adding to 11.5%. Problem 6 shows inflation at 4.5% and rates of 3.5%, 4.5%, 0.8%, and 0.8% adding to 13.5%. Problem 7 gives inflation as 4.5% for a two-year note and 5% for a three-year note, with interest rates of 1.5%, the inflation rate, and 0.2% or 0.3% respectively, adding to 6.2% and 6.8

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 2

    PROBLEM 5 PROBLEM 6

    k= 3.5% Inflation = 4 + 5 = 4.5%


    4.0% 2
    3.0%
    0.5% k= 3.5%
    0.5% 4.5%
    11.5% 4.0%
    0.8%
    0.8%
    13.5%
    PROBLEM 7

    TWO YEAR NOTE THREE YEAR NOTE


    Inflation = 4 + 5 = 4.5% Inflation = 4 + 5 + 6 = 5.0%
    2 3

    k= 1.5% k= 1.5%
    4.5% 5.0%
    0.2% 0.3%
    6.2% 6.8%

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