Developing nation where the inflation rate is very high

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An analyst is evaluating secures, n a developing nation where the inflation rate is very high. As a result, the analyst has been warned not to ignore the cross-product between the real rate and inflation. A 6-year security with no maturity, default, or liquidity has a yield of 13.85%. If the real risk free rate is 6.25%. what average rate of inflammation is expected in this country over the next 6 years' Do not round intermediate calculations.

Reference no: EM131456289

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