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uranmaximum [27]
4 years ago
5

A problem with the cpi is that it measures the price of only food and clothing while ignoring what happens to the prices to such

important items as mediacal care and energy?
Business
1 answer:
ikadub [295]4 years ago
8 0

Answer:

No, the Consumer Price Index does not ignore the price changes of medical care and energy.

Explanation:

The consumer price index is a measure that shows the changes in price of the weighted average market basket of goods and services purchased by households for consumption. By definition, this implies that the CPI considers a certain category of goods in its computation. For example, the Bureau for Labor and statistics considers this basket of goods to fall under the following categories:

-Education

-Housing

-Clothing

-Medical

-Food and Beverages

-Transportation

-Recreation

-Other

Based on this, we can ascertain that the CPI considers most of the goods and services purchased by a household on a constant basis such as medical care and energy.

The limitations or problems faced by the CPI include exclusion of the availability of substitutes, intriduction of new goods as time goes on, qualtiy changes and difference in consumption patterns in individuals.

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Explanation:

Administrative, Managerial, or Top Level of Management.

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3 years ago
Carradine Corporation uses a job-order costing system with a single plantwide predetermined
lyudmila [28]

Answer:

Answer:

Amount of overhead applied is  $270

correct option is  (a) $270

Explanation:

given data

overhead cost = $105,000

overheat rate = $3 per machine hour

manufacturing overhead = 70000 machine hour

required = 60 machine hours

to find out

The amount of overhead applied to Job P 233 is closest to

solution

we find manufacturing overhead rate here that is

manufacturing overhead rate =  

put here value

manufacturing overhead rate =  

manufacturing overhead rate = 1.5 per machine hour  

and

Total manufacturing overhead rate will be for overheat rate $3

Total manufacturing overhead rate = (3 + 1.5) = $4.5 per machine hour

so we can say that Amount of overhead is job P 233 is

Amount of overhead applied = 60 × $4.5 = 270

so here correct option is  (a) $270

Explanation:

5 0
3 years ago
Last year, Stewart-Stern Inc. reported $11,250 of sales, $4,500 of operating costs other than depreciation, and $1,250 of deprec
Andrews [41]

Answer:

(1) Net income is reduced / decreased by $725

(2) Free cash flow is increased by $254

Explanation:

<u>Before Change</u>

Sales =                                                  11250

-operating cost =                                  4500

-Depreciation =                                   <u>   1250</u>

Net income before interest and tax = 5500

-Interest Expense =                             <u>   228</u>

Net income before tax =                      5272

-Tax 35% = 5272 x 35% =                   <u>  1845</u>

Net income after interest and Tax =    3427

Free cash flow = CFO = Net Income before interest and Tax (1-Tax rate) + non-cash expenses – increase in non-cash net working capital.

CFO = 5500 (1-0.35) + 1250 – 2000 = 2825

<u>After Change</u>

New Depreciation = 1250 + 725 = 1975

Revise Net Income = 5500  + 1250 - 1975 = 4775

Effect on Net Income = 5500 - 4775 = Reduce /  decrease by $725

Revised Free cash flow = Revised CFO = 4775 (1-0.35) + 1975 - 2000

Revised CFO = 3079

Effect on Free cash flow = 3079 - 2825 = increased by $254

5 0
3 years ago
Country A is an extremely efficient producer of tin. However, its climate and terrain makes it difficult to produce corn. Accord
Advocard [28]

Answer:

Theory of comparative advantage states that a country has a comparative in a production of certain commodities if the opportunity cost of producing these commodities is lower than the other countries.

Here, it is given that country A is a efficient producer of tin and there are some difficulties in producing corn. So, country A have to concentrate on the production of Tin and purchase the corn from any other efficient producer.

7 0
3 years ago
When assigning employees to an important new advertising client account, you make sure that the team has members with many types
sergiy2304 [10]

Answer:

It is an example of variety diversity

Explanation:

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In this case, when the employees assigned important advertising account, then they make sure that the team comprise of different kind of expertise which could help in generating the creative ideas. Therefore, it is example of variety diversity.

7 0
4 years ago
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