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table and unit conversion factors are included on the last page of this question sheet...

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table and unit conversion factors are included on the last page of this question sheet Read the questions carefully and ensure you answer all parts of the questions. Good luck! QUESTIONS Your bank has quoted an annual interest rate and you have predicted the annual inflation rate, as shown in the table of data below. Interest rate quoted 6.40% Inflation Rate 2.30% What is the rate of interest in (a) real and (b) nominal terms? Please explain

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