What is the nominal interest rate (i) in Canada if the real estate of return is 2.5% and the expected rate was 4.5%.
(The Fisher Effect formula should be used in this problem).
I assume "real estate of return is 2.5%" means (real interest rate)
"expected rate ...
Finance : Interest and the Fisher Effect are investigated. The solution is detailed and well presented. The response received a rating of "5" from the student who posted the question.