Supply curve shows when quantity increases the price also increases and vice versa
Answer:
Mel
If Mel is risk-neutral, then in the absence of trip insurance, the most she will be willing to pay for the cruise is _______.
c. $1,220
Explanation:
a) Data and Calculations:
Mel's value of a cruise in nice weather = $2,000
Mel's value of a cruise in bad weather = $50
Probability of nice weather = 60%
Probability of bad weather = 40%
Expected value:
Weather Outcome Probability Expected Value
Nice weather $2,000 60% $1,200
Bad weather $50 40% $20
Total expected value of a cruise $1,220
It is true that because of the substitution problem, the CPI tends to overstate the true change in the price of the typical basket of consumer goods.
<h3>What is CPI?</h3>
- A consumer price index measures a market basket of goods and services that households have purchased at a weighted average price.
- The measured CPI fluctuates to reflect changes in prices over time.
- One of the most popular methods for determining inflation and deflation is the CPI.
- An essential gauge of an economy's health is inflation. The CPI and other indexes are used by governments and central banks when making economic decisions.
- The decision to raise or cut interest rates is crucial among these.
- If the CPI increases, it indicates that the average rate of change in price over time has increased. The cost of living and income are eventually changed as a result of this.
Learn more about CPI here:
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The Fair test is the best tool to help her evaluate the memo before she sends it.
<h3>What is FAIR test?</h3>
The term "FAIR" test entails Facts, Access, Impacts and Respect.
The FAIR test will help the user to:
- ensure that the communication is fact-based
- sender's motives is well channeled
- reasoning are granted access
- how well respect is shown to the receivers.
In conclusion, the Fair test is the best tool to help her evaluate the memo before she sends it.
Read more about FAIR test
<em>brainly.com/question/6791607</em>
Answer: <u><em>C. Using predetermined totals to control posting routines.</em></u>
Explanation: A regulation total if developed for the agreement to be posted, then it should be set side by side with total of items posted to personal accounts. Therefore, The most adequate way to avert this kind of error is by applying predetermined totals to control stating the daily cycle.
<u><em>Therefore, the correct option in this case is (c)</em></u>
