Question: a . Consumer prices have been averaging 3 . 5 0 percent in South Korea. If SoHyun can earn a nominal rate of return on

a. Consumer prices have been averaging 3.50 percent in South Korea. If SoHyun can earn a nominal rate of return on her investment portfolio of 10.25 percent, what is her real rate of return, assuming the rate is not continuously compounded?

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