The table given below lists the average price level in a country for four consecutive years. Table 7.2
Refer to the Table 7.2.How many times more goods and services could be purchased with one dollar in 1992 than in 1995?
A)1.064
B)1.07
C)1.093
D)1.93
E)1.96

Question

The table given below lists the average price level in a country for four consecutive years. Table 7.2
 Refer to the Table 7.2.How many times more goods and services could be purchased with one dollar in 1992 than in 1995?
A)1.064 
B)1.07 
C)1.093 
D)1.93 
E)1.96

Quizplus · Accepted Answer

To calculate how many times more goods and services could be purchased with one dollar in 1992 than in 1995, we need to divide the price level of 1995 by the price level of 1992. 
$1 in 1995 = 1.093 x $1 in 1992
Therefore, goods and services worth 1.093 times more could be purchased with $1 in 1992 than in 1995.

The Table Given Below Lists the Average Price Level in a Country