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Part 4:
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More Complex Arithmetic Skills |
| Inflation and Depreciation Inflation means that prices and wages are going up, usually by a percentage. Depreciation means that the prices are going down (usually of goods like cars and equipment). Inflation and depreciation are usually expressed as percentages. Example 4.3a A typical 'shopping basket' of goods costs £25.87 in March 1998. In the year to March 1999 the annual rate of inflation was 2.9%, and in the year to March 2000 the rate had further increased by another 0.3 percentage points. In the same time, Mary's weekly wage had gone up from £196.23 to £207.45. How does she stand financially in relation to the shopping basket? |
