Scenario 6-4
Quinn has job offers in Wrexington and across the country in Charlieville. The Wrexington job would pay a salary of $50,000 per year, and the Charlieville job would pay a salary of $40,000 per year. The CPI in Wrexington is 150, and the CPI in Charlieville is 90.
-Refer to Scenario 6-4. The Wrexington salary in Charlieville dollars is

Question

Quizplus · Accepted Answer

To convert the Wrexington salary to Charlieville dollars, divide the Wrexington salary by the Wrexington CPI and multiply by the Charlieville CPI:

($50,000 / 150) x 90 = $30,000

Therefore, the best choice would be to take the job in Wrexington as it pays a higher salary even when adjusted for cost of living.

Scenario 6-4 Quinn Has Job Offers in Wrexington and Across the Country