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ch4aika [34]
3 years ago
8

45. Consider a small economy in which consumers buy only two goods: pretzels and cookies. In order to compute the consumer price

index for this economy for two or more consecutive years, we assume that:
Business
1 answer:
kakasveta [241]3 years ago
8 0

Answer:

neither the number of pretzels nor the number of cookies bought by the typical consumer changes from year to year

Explanation:

a. the percentage change in the price of pretzels is equal to the percentage change in the price of cookies from year to year. b. the number of pretzels bought by the typical consumer is equal to the number of cookies bought by the typical consumer in each year. neither the number of pretzels nor the number of cookies bought by the typical consumer changes from year to year. d. neither the price of pretzels nor the price of cookies changes from year to year.

The consumer price index measures the changes in the price level of a basket of good. It is used to measure the rate of inflation.

Since the CPI measures changes in price level, it is assumed that quantities of goods purchased remains constant.

I hope my answer helps you

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Each month the Census Bureau carries out the Current Population Survey (CPS) (which has been carried out every month since 1940)
katovenus [111]

Answer:

a) 60,000

Explanation:

The Current Population Survey(CPS) contacts a representative sample of 60,000 people of age 15 and above every month in order to make an inferential assumption about the US population as a whole.

7 0
3 years ago
Suppose that Ariana consumes two goods, coffee and textbooks. Both are normal goods. Suppose the price of textbooks decreases, w
marta [7]

Answer:

The correct answer here would be option D) more of textbooks would be consumed and less of coffee would be consumed.

Explanation:

In economics, substitution effect refers to a situation where there is change in demand of one good in response to the change in price of other goods. Same situation is taking place here as now the price of textbooks have decreased , Ariana will now look to consume more of textbooks and less of coffee.

4 0
3 years ago
Read 2 more answers
Ayala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-based)
GalinKa [24]

Answer:

1) Part 1. Operating Income = Revenue - Operating cost

=201,000 - 56,000

=$145,000

Part 2.  Operating Income = Revenue - Operating cost

= 159,000 - 55,000

= $104,000

Part 3. Operating Income = Revenue - Operating cost

= 89,000 - 15,000

=$74,000

2. Part 1. Operating Income = Revenue - Operating cost

=201,000 - 45,600

=$155,400

Part 2. Operating Income = Revenue - Operating cost

=159,000 - 25,000

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Part 3. Operating Income = Revenue - Operating cost

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7 0
3 years ago
Calistoga Produce estimates bad debt expense at 0.50% of credit sales. The company reported accounts receivable and allowance fo
AveGali [126]

Answer:

$1,345

Explanation:

Calculation to determine what Calistoga's final balance in its allowance for uncollectible accounts at December 31, 2021, is

First step is to calculate the Expense amount

Expense=Credit sales $315,000* .5%

Expense=$1,575

Second step is to calculate the Allowance

Allowance 12/31/2020 $1,650

Less Write-offs(1,880)

Allowance ($ 230)debit

Now let calculate the final balance in its allowance for uncollectible accounts

December 31, 2021 allowance for uncollectible accounts= ($230) + $1,575

December 31, 2021 allowance for uncollectible accounts=$1,345

Therefore Calistoga's final balance in its allowance for uncollectible accounts at December 31, 2021, is $1,345

7 0
3 years ago
A company's ____________ is the percentage of the total target market for the product that belongs to the company.
ikadub [295]

Answer:

B. market share

Explanation:

Market share is the percentage of consumers that a company has captured from its specific, desired market within an industry.

8 0
3 years ago
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