What is the consumer price index (CPI)? Explain with an example.
What will be an ideal response?
Many people refer to the CPI as a cost-of-living index, and many employers choose, as a matter of pay policy or in response to union pressures, to tie wages to it. However, the CPI does not necessarily reflect an individual employee's cost of living. Instead, it measures changes in prices over time. Changes in the CPI indicate whether prices have increased more or less rapidly in an area since the base period. For example, a CPI of 110 in Philadelphia and 140 in Atlanta does not necessarily mean that it costs more to live in Atlanta. It does mean that prices have risen faster in Atlanta since the base year than they have in Philadelphia, since both cities started with bases of 100.
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________ refers to the principles, rules, and values people use in deciding what is right or wrong.
A. Corporate legislation B. Ecocentric management C. Moral philosophy D. Sustainability index E. Business responsibility
A company shows a $600 balance in Prepaid Rent in the Unadjusted Trial Balance columns of the work sheet. The Adjustments columns show expired rent of $200. This adjusting entry results in:
A. $200 increase in net income. B. An error in the financial statements. C. $200 of prepaid insurance. D. $200 decrease in net income. E. $200 difference between the debit and credit columns of the Unadjusted Trial Balance.
Tort law gives persons relief from civil wrongs or injuries to their person, property, and economic interests
Indicate whether the statement is true or false
The current Nikkei index price is 21,200. Assume ? = 0.13, r = 0.05 and div = 0.015. If
K = 20,000 yen and yen per dollar spot rates are 103, what is the dollar value of a 2-year call? A) $13.97 B) $18.97 C) $23.97 D) $28.97