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Oksana_A [137]
3 years ago
9

Samantha goes to the grocery store to make her monthly purchase of ginger ale. As she enters the soft drink section, she notices

that the price of ginger ale has increased 15 percent, so she decides to buy some peppermint tea instead. To which problem in the construction of the CPI is this situation most relevant?
Business
1 answer:
Vlad1618 [11]3 years ago
6 0

Answer:

SUBSTITUTION BIAS

Explanation:

The Consumer Price Index (CPI) is a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care. It is calculated by taking price changes for each item in the predetermined basket of goods and averaging them.

The substitution bias is a weakness in the Consumer Price Index that overstates inflation because it does not account for the substitution effect, when consumers choose to substitute one good for another after its price becomes cheaper than the good they normally buy.

Samantha decides to buy some peppermint because of the 15% inflation on the price of ginger ale, therefore, this situation is most relevant to SUBSTITUTION BIAS in the construction of CPI.

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Forsyth County charges a 7% sales tax. If you bought a new printer form $3250.00, what is the total cost for the printer?
iren2701 [21]

Answer:

Total cost = $3477.5

Explanation:

Given the following data;

Sales tax = 7%

Cost price = $3250.00

To find the total cost for the printer;

First of all, we would determine the sales tax

Sales tax = 7/100 * 3250

Sales tax = 7 * 32.5

Sales tax = $227.5

Now, we can find the total cost;

Total cost = sales tax + cost price

Total cost = 227.5 + 3250

Total cost = $3477.5

5 0
3 years ago
a pricing tool that focuses on the changes in total revenue and total cost from selling one more unit to find the most profitabl
tigry1 [53]

A pricing tool that focuses on the changes in total revenue and total cost from selling one more unit to find the most profitable price and quantity is called Marginal analysis.

Marginal analysis is an examination of the added benefits of an activity against the incremental costs resulting from the same activity. Businesses use marginal analysis as a decision-making tool to help them maximize their potential revenue. For example, if a company has a budget to make room for another employee and plans to hire another person to work in the factory, marginal analysis indicates that hiring that person provides a net marginal benefit.

To learn more about Marginal analysis, click here.

brainly.com/question/14513809

#SPJ4

5 0
1 year ago
Why does a​ $1 increase in government purchases lead to more than a​ $1 increase in income and​ spending? A. Through the governm
MArishka [77]

Answer:

D. Through the government purchases​ multiplier, the​ $1 increase in government spending will lead to an increase in aggregate demand and national​ income, which will lead to an increase in induced spending.

Explanation:

We know,

Multiplier = Changing real equilibrium GDP ÷Change of government spending.

If we increase the multiplier, government spending will lead to an increase in aggregate demand that is potential GDP is higher than actual GDP and national​ income, which will lead to an increase in induced spending. Therefore option D is the correct answer as options A, B, and C do not meet the requirements.

8 0
3 years ago
Assume is a design manager for a production company. he independently assigns teams, chooses projects, researches trends, and is
LUCKY_DIMON [66]
The answer is D.autonomy.  Autonomy in management is the art of allowing a great deal of freedom to make choices in the work place. A manager who grants an employee autonomy generally outlines the goal of a project but allows the employee to decide the best way to achieve that goal. For example in our case Assume and the company works in autonomy such that he can work from home and get the work delivered to the design director.
4 0
3 years ago
The Chief Information Officer (CIO) and the Managing Director (MD) of Illustrious Limited recently had the following conversatio
-Dominant- [34]

Answer:

Illustrious Limited

a) I sympathize with the MD.  He noted "We have been through these types of projects before, and what always ends up happening is that we do not get the new system we are promised. Instead, we get a modified version of the old system."  The implication of his assertion is that something is missing in the way the CIO and her team had been handling system development projects in the past.  Even the CIO acknowledged the MD's assertions by assuring "that this will not happen this time."  In the past, the system development team had neglected understanding "what is working well and what is not."  This should not be the case in any good system development.  Preliminary analysis or investigation should uncover users' requirements and then conduct a thorough system analysis before the design and other stages are carried out in an iterative process.

b) I would recommend SCRUM instead of the Waterfall methodology.  With Scrum, the system development project is teamwork.   The team is held accountable and SCRUM utilizes iteration to achieve well-defined goals.  The SCRUM framework "begins with a simple premise, starting with what can be seen or known before it tracks progress and tweaks as necessary," to achieve set goals defined by users' requirements.

Explanation:

a) System Development is a process that follows a system development life cycle (SDLC) methodology and involves these seven stages: requirement analysis, system analysis, system design, development or programming, testing, implementation and documentation, and evaluation and support.

b) SCRUM is a framework in SDLC which follows "a set of meetings, tools, and roles that work in concert to help teams structure and manage their work."  SCRUM has been described as "an agile way to manage a project," especially software development because of its "iterative and flexible approaches."

c)  Waterfall model, on the other hand, follows linear sequential phases of conception, initiation, analysis, design, construction, testing, deployment, and maintenance, and each stage depends on the deliverables of the previous stage.  This is why "in software development, it tends to be among the less iterative and flexible approaches, as progress flows in largely one direction ("downwards" like a waterfall) through the phases."

4 0
3 years ago
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