John borrowed $3,000 from his bank for one year at 4%. If the rate of inflation turned out to be 6%, what can you say about the bank's purchasing power from this operation, when the loan is paid back?...

Q9

Extracted text: John borrowed $3,000 from his bank for one year at 4%. If the rate of inflation turned out to be 6%, what can you say about the bank's purchasing power from this operation, when the loan is paid back? OA. The bank's real purchasing power increased by 1.92%. O B. The bank's real purchasing power decreased by 10.24%. O C. The bank's real purchasing power decreased by 2.00%. O D. The bank's real purchasing power decreased by 1.89%.