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yaroslaw [1]
3 years ago
10

According to the U.S. Census Bureau (www.census.gov), the median household income in the United States was $23,618 in 1985, $34,

076 in 1995, $46,326 in 2005, and $57,230 in 2015. In purchasing power terms, how did family income compare in each of those four years? You will need to know that the CPI (multiplied by 100, 1982–1984 = 100) was 107.6 in 1985, 152.4 in 1995, 195.3 in 2005, and 237.0 in 2015

Business
1 answer:
Katena32 [7]3 years ago
4 0

Answer:

The highest median income in purchasing power terms was in 1995, then 2005, 2015, and last 1985

Explanation:

To solve this question we must transform the median household income into comparable units. To do so we use the CPI data given in the problem.

We can arrange everything in a spreadsheet like the attached figure. In  column A we have the years, in B the nominal median household income, in the third the CPI divided by 100, this will allow us to deflate and calculate the median income in constant 1982-1984 us dollars (since 1982-1984 will be the numeraire at 1). We do that by dividing column B by C, which is shown in column D.

With these values then we have all the median incomes in comparable units. We now can order and compare them

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Answer:

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Explanation:

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3 years ago
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Answer:

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3 0
3 years ago
Kijijo Auctions runs an online auction company. Its end-of-year financial statements indicate the following results. Total asset
katrin [286]

Answer:

40%

Explanation:

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Less total liabilities ($130,000)

$110,000

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Answer:

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