What's your real rate of return if your savings account pays 2.5% interest and
inflation is at 1%?
JA 1.5%
B 2.5%
C 3.5%
D Can't calculate

i think the correct option is the second option.

i believe a. 12x≥120 is the answer

yes, gavin is right.

step-by-step explanation:

gavin is correct. 

this problem is about converting 9% per year to how many percent per quarter. the rate is still the same. it only differed in the time period. so, through dimensional analysis,

9% per year  × (1 year / 4 quarters) = 2.25% per quarter

if he was asked to convert 9% per year to how many percent per quarter  compounded quarterly, then you will not simply divide by four. this is because compounding is not linear.

hope this , have a good day. c;