A bank in our city plans to lend a certain amount of RMB to Company A. According to the loan regulations of the bank, the annual interest rate of the loan is 4% under the condition that the price remains unchanged. If the price goes up, Suppose the original gold is 100 yuan.

Total principal and interest owed to the bank for one year 104.

Now, the price has gone up by 5%

104 yuan is equivalent to104 * (1+5%) =109.2.

The real interest rate is 9.2%

So it should be increased by 5.2%.