Consider a 3.25% TIPS with an issue CPI reference of 240.50. At the beginning of this year, the CPI was 250.40 and was at 258.70 at the end of the year. What was the capital gain of the TIPS in percentage terms? (Do not round the intermediate steps. Round your final answer to 2 decimal places.) A. 3.31% B. 4.52% C. 7.57% D. 3.45%
Consider a 3.25% TIPS with an issue CPI reference of 240.50. At the beginning of this year, the CPI was 250.40 and was at 258.70 at the end of the year. What was the capital gain of the TIPS in percentage terms? (Do not round the intermediate steps. Round your final answer to 2 decimal places.) A. 3.31% B. 4.52% C. 7.57% D. 3.45%
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter15: Capital Investment Analysis
Section: Chapter Questions
Problem 15.1.1MBA
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Transcribed Image Text:Consider a 3.25% TIPS with an issue CPI reference of 240.50. At the
beginning of this year, the CPI was 250.40 and was at 258.70 at the end
of the year. What was the capital gain of the TIPS in percentage terms?
(Do not round the intermediate steps. Round your final answer to 2
decimal places.)
A. 3.31%
B. 4.52%
C. 7.57%
D. 3.45%
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