The nominal interest rate on a loan with an annual inflation rate ...

[Frost2351]

The nominal interest rate on a loan with an annual inflation rate of  and a real interest rate i is represented as:
 a. i+i
  b. i+i
  c. i+i
  d. i+-i

Question 2

If price is cut and demand is elastic, total revenue will rise because
 A) the change in quantity demanded is greater than the percent change in price.
  B) the percent change in quantity demanded is greater than the change in price.
  C) the percent change in quantity demanded is greater than the percent change in price.
  D) customers can't find substitutes.

[bpool94]

Answer to Question 1

C

Answer to Question 2

C

[Frost2351]

Thanks for the timely response, appreciate it

[chereeb]

Wow, this really help