If the CPI was 140 at the end of 2016 and 150 at the end of 2017, what was the inflation rate in 2017?
A)7.14 percent
B)10 percent
C)8 percent
D)6.25 percent
E)6.67 percent

Question

Quizplus · Accepted Answer

The inflation rate is calculated as the percentage change in the CPI from one period to the next. The formula is: [(CPI in 2017 - CPI in 2016) / CPI in 2016] * 100 = [(150 - 140) / 140] * 100 = 7.14 percent.

If the CPI Was 140 at the End of 2016