The Big Mac Index demonstrates the concept of Purchasing Power Parity
If the current price of a Big Mac hamburger in the United States is $3.80, and the current price of the same burger in Germany is €2.75, what is the implied exchange rate of dollars per euro?
A) $0.7237/€
B) $1.3818/€
C) $1.4421/€
D) $1.5133/€
Answer: B
Explanation: B) The implied exchange rate is the price in dollars / the price in euros. = $3.80/€2.75 = $1.3818/€
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A. operant conditioning B. conditioned response C. reinforcement theory D. classical conditioning
An employee earned $4,600 in February working for an employer. The FICA tax rate for Social Security is 6.2% of the first $128,400 earned during each calendar year and the FICA tax rate for Medicare is 1.45% of all earnings. The employee has $644 in federal income taxes withheld and has voluntary deductions for health insurance of $50 and contributes 10% of gross pay to a retirement plan each month. The employer pays the $200 remainder of the health insurance premium and an equal amount of contribution to the retirement fund. What is the amount of net pay for the employee for the month of February?
A. $3,604.10 B. $3,094.10 C. $3,446.00 D. $3,496.00 E. $2,634.10
RST Company offers a qualified retirement plan. Each employee contributes 4 percent of his or her pretax income to the plan, and RST matches the employee's contribution
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When using the indirect method to calculate and report net cash provided or used by operating activities, which of the following is subtracted from net income?
A. Decrease in merchandise inventory. B. Amortization of intangible assets. C. Decrease in income taxes payable. D. Bad debts expense. E. Depreciation expense.