Question

Nora bought a car last year so that she could drive to work after school. She spent $250 last year for gas. This year she spent $295. Disregarding other factors, what is the inflation rate? 18% 19% 20% 21%

Answer 1

here,

money spent in 1st year =$250

money spent in 2nd year=$295

total inflated amount=$295- $250

=$45

Then,

inflation rate= ($45/ $250)×100%

=18%