Answer: Second option is correct.
Step-by-step explanation:
Since we have given that
Selling price for a can of soda last year = $0.75
Selling price for a can of soda this year = $0.70
Difference between the selling price for a can = $0.70 - $0.75 = -$0.05
So, Deflation rate would be
[tex]\dfrac{-0.05}{0.75}\times 100\\\\=-6.7\%[/tex]
Hence, Second option is correct.
