7 . Teddy invested 89000 USD in an account that pays a nominal annual interest rate of 9 %, compounded monthly . This amount is invested for 6 years and the inflation rate in these 6 years is i % .
( a ) Find the real interest rate per year , giving the answer in terms of i and correct to 5 decimal places .
[ 3 ] It is given that the real value of amount of money after 6 years is 118000 USD .
( b ) Using the answer in ( a ), find the value of i . [ 3 ]
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