The consumer price index (CPI) equals 100 in year one and 115 in year two.If the nominal wage is $15 in year one and a contract calls for the wage to be indexed to the CPI,what will be the nominal wage in year two?
A) $13.04.
B) $15.00.
C) $15.15.
D) $16.15.
E) $17.25.
Correct Answer:
Verified
Q61: One family earned an income of $28,000
Q62: A year's tuition at an Ontario university
Q63: The practice of increasing a nominal quantity
Q64: The price of a litre of gasoline
Q65: The wage paid to workers measured in
Q67: A labour contract provides for a first-year
Q68: Deflating a nominal quantity is the process
Q69: One family earned an income of $28,000
Q70: One family earned an income of $28,000
Q71: A labour contract provides for a first-year
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents