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What is the real interest rate he expected

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If a person buys government bond for $400. Then receives principal and interest totaling $436 one year later. During the year the CPI went from 150 to 162, but he had thought the CPI would be at 159 by the end of the year. What is the real interest rate he expected? What is the interest rate he received?

Reference no: EM132092066

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