All categories

3 years ago

Calculating inflation using a simple price index

Business

1 answer:

nekit [7.7K]3 years ago

7 0

Answer:

A. A new mobile device for personal computing became available for purchase.

C. Energy drinks became increasingly popular on college campuses between 2010 and 2012 due to significant improvements in flavor.

D. As the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculators in their cell phones or on their computers.

Explanation:

A general increase in the price of commodities is known as inflation. the change in inflation is calculated using price index.

The statement that ilustrate why price indexes such as the CSPI might overstate inflation in the cost of going to collage are:

a new mobile device for personal computing became available for purchase.

as the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculator in their cell phones or in their computers.

energy drinks became increasingly popular on collage between 2010 and 2012 due to significant improvements in flavour.

You might be interested in

Individuals who give up looking for work because they don't feel that there are good prospects of finding a job are known as:

lord [1]

Individuals who give up looking for work because they don't feel that there are good prospects of finding a job are known as discouraged workers.
Correct answer: D
These type of workers have not found no suitable employment options in the past so they believe that there aren't any jobs for them and they are discouraged to search for a job.

8 0

3 years ago

Benchmarking involvesA. comparing how different companies perform various value chain activities and then making cross-company c

Vinvika [58]

Answer:

Letter A is correct. Comparing how different companies perform various value chain activities and then making cross-company comparisons of the costs of these activities.

Explanation:

The most suitable alternative to this question is letter A, because the definition Benchmarking can be defined as the process and search for in-depth knowledge about your competitors and the way they carry out their activities.

It consists of investigating competitors in order to compare operations, products and services between a company and its main competitors. Through the research of competitors it is possible to better understand the market and adapt the best practices to be successful, in addition to achieving continuous improvement of processes, in addition to reducing errors and costs through the analysis and knowledge of the actions of competing companies.

3 0

3 years ago

During February 2018 its first month of operations, the stockholders of Bonita Enterprises invested cash of $49500. Bonita had c

hichkok12 [17]

The balance in Cash at February 28 = $44900

Explanation:

Given:

Cash invested by stockholders of Bonita Enterprises = $49500

Cash revenues of Bonita = $10100

Expenses paid by Bonita = $14700

Calculation of balance in cash as follows:

The balance in Cash at February 28 = Cash Invested + Cash Revenues - Paid Expense=$ 49,500 + $ 10100 - $ 14,700= $ 44900

Hence the correct answer is $44900

5 0

3 years ago

On December 31, the company estimates future sales refunds to be $900. As of that date, the company has an unadjusted debit bala

dimulka [17.4K]

Answer:

Date Account titles and Explanation Debit Credit

Dec 31 Sales return and allowance $600

Sales refund payable $600

($900 - $300)

(To record the expected refund of sales)

4 0

3 years ago

Advice from most financial advisers states to spend no more than 28% of one's gross monthly income for one's mortgage payment, a

meriva

Answer and Explanation:

The computation is shown below:

a. For the maximum amount that spend each month on mortgage payment is

= Gross annual income ÷ total number of months in a year × mortgage payment percentage

= $39,600 ÷ 12 months × 28%

= $924

b. . For the maximum amount that spend each month on total credit obligatons

= Gross annual income ÷ total number of months in a year × mortgage payment percentage

= $39,600 ÷ 12 months × 36%

= $1,188

c. Now the maximum amount spend for all other debt is

For monthly mortgage

= $924 × 70%

= $646.8

And, for mortgage debt

= $1,188 × 70%

= $831.60

7 0

3 years ago