• OR is the previous term rent ($) • CPI is the CPI over the past year (%) To calculate new rent from CPI, multiply the previous rent by the CPI over the last year, then add the result to the previous terms rent. ## How to Calculate New Rent From CPI? The following example problems outline how to calculate New Rent From CPI. Example Problem #1: 1. First, determine the previous term rent ($). In this example, the previous term rent ($) is given as 1500. 2. Next, determine the CPI over the past year (%). For this problem, the CPI over the past year (%) is given as 6. 3. Finally, calculate the New Rent From CPI using the equation above: NR = PR + PR * CPI/100 The values given above are inserted into the equation below: NR = 1500 + 1500*6/100 = 1590 ($)

Example Problem #2:

The variables needed for this problem are provided below:

previous term rent ($) = 1600 CPI over the past year (%) = 4 Entering these values and solving gives: NR = 1600 + 1600* 4/100 = 1664 ($)