The table below shows hypothetical indexes for the price levels for Canada and the United States and hypothetical nominal exchange rates between their currencies (the Canadian-dollar price of 1 U.S.dollar) . 
TABLE 34-2 Refer to Table 34-2.According to the theory of purchasing power parity (PPP) ,the Canada-U.S.exchange rate in 2014 should have been
Definitions:
Centralized Communication Network
A communication structure in which all decisions and processes are managed from a single central point of authority, often leading to efficient decision-making but reduced autonomy for lower levels.
Consultative
An approach or style in decision-making and leadership where input and feedback from others are sought before arriving at a final decision.
Individual
Pertaining to a single person or entity, distinct from a group or collective.
Decision Methods
Approaches and procedures used to make choices among alternatives.
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