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bearhunter [10]
3 years ago
14

Assume the market basket for the consumer price index has two​ products, bread and​ milk, with the following values in 2013 and

2018 for price and​ quantity: Base Year​ (2013) 2018 Product Quantity Price Price Milk 50 ​$1.20 ​$1.50 Bread 100 1.00 1.10 The Consumer Price Index for 2018 equals
a. 118
b. 116
c. 86
d. 85
e. none of the above
Business
1 answer:
Gnesinka [82]3 years ago
3 0

Answer:

b. 116

Explanation:

The calculation of Consumer Price Index is shown below:-

CPI = ((Base year basket quantities × current year price) ÷ (Base year basket quantities × Base year prices)) × 100

= ((50 × $1.50) + (100 × $1.10)) ÷ ((50 × $1.20) + (100 × $1.00)) × 100

= (185 ÷ 160) × 100

= 115.6

0r 116

So, for computing the consumer price index for 2018 we simply applied the above formula.

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A major casual dining chain decided to install tablet computers at the booths in their restaurants. Customers can now browse the
neonofarm [45]

<u>Answer:</u> They can best be classified as structurally unemployed.

<u>Explanation:</u>

Unemployment which has resulted because of the change in technology that is implemented in a business can be called as the structural unemployment. The skills demanded by the employers differs from the skills offered by the workers.

The casual dining has replaced the employees with tablets which is cost beneficial for the business. The employees who have lost their jobs due to technological change at workplace is called as structural unemployment. Here the casual dining is said to have industrial reorganization for various benefits.

3 0
4 years ago
Financial reports provide information that can reduce investors' uncertainty about the company's opportunities and risks, thereb
Lera25 [3.4K]

Answer:

False

Explanation:

The given statement is false Financial reports does not provide information that can reduce investors uncertainty about the company's opportunities and risks, thereby raising the company's cost of capital.

Financial report of a company contains balance sheet, income statement and discussion of the management. It also indicate company's financial health and earning potential. But it cannot reduce the risk of investors uncertainty.  

4 0
3 years ago
Muckenthaler Company sells product 2005WSC for $30 per unit. The cost of one unit of 2005WSC is $27, and the replacement cost is
valentina_108 [34]

Answer:

The product 2005WSC should be reported at $26 per unit.

Explanation:

The lower-of-cost-or-market (LCM) method is a method of recording the inventory of a company which requires that the inventory cost of the company must recorded at whichever is lower between the inventory's original cost or current market price.

Applying lower-of-cost-or-market, the amount per unit at whcih product 2005WSC should be reported can be determined as follows:

Net realizable value (NRV) = Selling price per unit - Cost of disposal per unit = $30 - $3 = $27

Replacement cost (RC) = $26

NRV - Profit Margin = $27 - ($30 * 40%) = $15

Cost per unit = $27

Note that the market is the middle value of Net realizable value (NRV), $27; Replacement cost (RC), $26; and "NRV - Profit Margin", $15. Since the Replacement cost (RC) of $26 is the middle value, that the market value.

Since the market value of $26 per unit is lower than Cost per unit of $27,  by applying lower-of-cost-or-market, the product 2005WSC should be reported at $26 per unit.

3 0
3 years ago
What is a computer network?
Leona [35]

Answer:

A.)

Explanation:

two or more connected computers

6 0
3 years ago
In 2 to 4 sentences, describe how money is channeled from savers to borrowers to investors.
vovangra [49]
The borrower may chose to use the funds to invest in a business venture and thus be becomes an investor. Money is channeled through financial institutions such as banks. A saver saving with a bank account seeks to keep the money in the bank as it earns him interest.
3 0
3 years ago
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