How to determine the annual inflation

To determine inflation over the past 12 months, need price data of the previous and current years. They need to substitute in the formula:UI = (CT / CB * 100) - 100,where Mi is the level of inflation;- DH – current year prices; Securities – prices of the reference year.So is the annual rate of price increase.

A study of consumer prices is the Federal state statistics service. Learn the importance of annual inflationand the rate of growth from the statistical compilations. These data are regularly published in official publications, they are taken as a basis in economic analysis and forecasting in the calculation of financial performance. And although in reality the number may differ from the actual figures, in case of disputable situations are taken into account only the official data. Thus, it is advisable to carry all the calculations.

Inflation can be defined as the market in General, and for individual product in particular. In the second case, simply substitute the value of the prices of specific products and services in the right formula and get the desired figure.

If you want to find the average annual rate of inflation for several periods, use the formula:Mi = (((TCP/CPG)∧(1/y))-1) * 100,where Mi is the level of inflation;- the NBI – the price of the end of the period;- Tsnp – prices at the beginning of the period;- the number of years for which you want to find the average inflation rate.

The rate of inflation is another important economic indicator that is often taken into account in the pricing policy and provides guidance in the analysis and prediction of performance. It is calculated by the following formula:Ti = (Ikn - Pid) / Pid * 100 where T – the rate of infomatsii;- IKP – inflation period-end;- INP – inflation at the beginning of the period.