Answer:
2.4%
Explanation:
The person real rate of interest is the interest which has been adjusted for inflation and can be calculated using the below formula:
(1+r)(1+i)=(1+n)
r= real rate of interest=?
n=nominal rate of interest=4.7%
i=inflation rate=2.2%
(1+r)(1+2.2%)=(1+4.7%)
1+r=(1+4.7%)/(1+2.2%)
1+r=1.024
r=1.024-1
r=0.024
r=0.024*100=2.4%
