Suppose a lease has a 75% CPI-Adjustment each year. If last year's rent was $20/SF and the CPI has increased from 155 to 161, what is the new rent this year?
A) $20.50
B) $20.58
C) $20.77
D) $21.00
E) $21.20

Name: Suppose a lease has a 75% CPI-Adjustment each year. If last year's rent was $20/SF and the CPI has increased from 155 to 161, what is the new rent this year? A) $20.50 B) $20.58 C) $20.77 D) $21.00 E) $21.20
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Question

Quizplus · Accepted Answer

The CPI increase is 161/155 = 1.039. The new rent is $20 x 1.039 = $20.77.

Suppose a Lease Has a 75% CPI-Adjustment Each Year