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Degger [83]
3 years ago
6

17) If the CPI basket of goods cost $200 in the reference base period and $450 in a later year, the CPI in the later year equals

A) 225. B) 300. C) 250. D) 450. 2016 2017 Item Quantity Price Quantity Price Books 10 $30 8 $50 Pens 20 $1 15 $2
Business
1 answer:
ASHA 777 [7]3 years ago
7 0

Answer:

A) 225

CPI base year = $200

CPI later year = $450

CPI for the later year = ($450 / $200) x 100 = 225

                                       2016                         2017

Item                       Quantity Price           Quantity Price

Books                         10      $30                  8        $50

Pens                           20        $1                  15         $2

Nominal GDP 2016 = (10 x $30) + ($20 x $1) = $300 + $20 = $320

Nominal GDP 2017 = (8 x $50) + ($15 x $2) = $400 + $30 = $430

Real GDP 2017 using 2016 as base year = (8 x $30) + ($15 x $1) = $240 + $15 = $255

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Collins Inc. is investigating whether to develop a new product. In evaluating whether to go ahead with the project, which of the
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Answer:

The answer is a. The project will utilize some equipment the company currently owns but is not now using.

Explanation:

If you look at all the other options that are listed here, they either are a significant sum to the company or has a significant the opportunity cost. In this one, company uses idle assets and therefore bears no opportunity cost.

4 0
4 years ago
One reason to buy a home instead of rent a home is:
Natali [406]
It’s better to buy a home instead of renting a home because when you rent, your paying someone else’s mortgage! Whereas when you buy a home, you’re paying your own mortgage not someone else’s. It’s also better to buy a house because when you rent, you can’t change anything about the house because it’s essentially not yours. For example, if you wanted to plant s tree in the backyard of your rented house, you wouldn’t be able too because it’s not your yard. Whereas if you bought your house, you could do whatever you want to it because it’s yours.
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5 0
3 years ago
Read 2 more answers
Suppose the Federal Reserve releases a policy statement today which leads people to believe that the Fed will be enacting expans
bekas [8.4K]

Answer:

<h2>An expansionary monetary policy by the Federal Reserve would lead to an <u>increase </u> in the demand for US assets and a <u>depreciation</u> in the value of US dollars.Hence the correct answer is option D) or increase;depreciate.</h2>

Explanation:

An expansionary monetary policy commonly entails expansion of money supply thereby reducing the eventual interest rate in order to boost or stabilize the Aggregate Demand(AD) and overall output level or GDP in the economy.Now,as the domestic interest would fall in US due to the expansionary speculations and inflationary indications(increase in money supply),it would consequently lower the value of the US dollars relative to other foreign currencies.This implies that US dollar would depreciate compared to other foreign currencies.This possibility would encourage the importers and international investor or financiers to become more attracted towards the US goods,services and financial assets thereby increasing their demands.Therefore,a depreciation of US dollars would essentially lead to an increase in the demand for US assets in the international market as depreciation of US dollars would also lower the value of US assets in the international market.

3 0
3 years ago
If a family spends its entire budget in a given time frame, the family can afford either 10 restaurant meals or 30 home meals. A
Andrej [43]

The opportunity cost of one extra restaurant meal in the time frame is 3 home meals.

<h3>What is opportunity cost?</h3>

Opportunity cost of the next best option forgone when one alternative is chosen over other alternatives. When the family chooses to go for the restaurant meal, they forgo the opportunity for a home meal.

Opportunity cost  = 30 / 10 = 3

To learn more about opportunity cost, please check: brainly.com/question/26315727

7 0
2 years ago
"A high-ranking officer of ABC Corporation owns 10,000 shares of ABC Corporation control stock that she wishes to sell under the
LuckyWell [14K]

Answer: $9,000

Explanation:

Rule 144 is a regulation that governs the trading of restricted, unregistered, and control securities and is enforceable by the SEC.

Under the rule, the person, as an officer of the ABC Corporation is limited to selling the higher of 1% of the Outstanding stock the company has or the average weekly trading volume over the preceding 4 weeks.

1% of the outstanding 900,000 shares is;

= 1% * 900,000

= 9,000 shares

This is higher than the average weekly trading volume over the preceding 4 weeks so this is the maximum permitted sales figure.

3 0
4 years ago
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