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maks197457 [2]
3 years ago
12

In​ 1923, a certain country underwent one of the worst periods in history of​ hyperinflation, which is extraordinarily large inf

lation in prices. At the peak of the​ hyperinflation, prices rose ​2000% per month. At this​ rate, by what percentage would prices have risen in 1​ year? In 1​ day? (Assume 30 days per​ month.)
The annual inflation rate is
​%.
​(Type whole​ numbers.)
The daily inflation rate is
nothing​%.
Mathematics
1 answer:
Phoenix [80]3 years ago
8 0

Answer:

7.35582 * 10^17 %

110.68122%

Step-by-step explanation:

Inflation rate per month = 2000%

The inflation rate per year will be:

Using the relation :

Final amount = initial amount(1 + rate)^t

Here monthly rate = 2000% = 2000 / 100 = 20

Final amount = initial amount(1 + 20)^t

Final amount = initial amount(21)^12

Hence, the inflation rate after 12 months = 1year will be :

21^12 = 7355827511386641

(7355827511386641 * 100)%

= 7.35582 * 10^17 %

Daily inflation rate :

Number of days in a month = 30

Hence,

(1 + 20)^(1/30)

21^0.0333333 = 1.1068122

(1.1068122 * 100)% = 110.68122%

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