Suppose that the price of peanut butter is $3 per pound and the price of almond butter is $5 per pound.If the price of peanut butter rises to $3.60 and the price of almond butter rises to $5.50,then the absolute price of peanut butter has _______________ and the relative price of peanut butter has _______________.
A) risen; fallen
B) fallen; risen
C) risen; risen
D) fallen; fallen

Question

Quizplus · Accepted Answer

The absolute price of peanut butter has risen because the price per pound has increased from $3 to $3.60. The relative price of peanut butter has also risen because the price of peanut butter has increased by a greater percentage than the price of almond butter.

Suppose That the Price of Peanut Butter Is $3 Per