If the Price Level Increases from 120 to 320 in One

question 174

Multiple Choice

If the price level increases from 120 to 320 in one month, the inflation rate for that month equals:

• A) 267 percent.
• B) 2.67 percent.
• C) 8%.
• D) 67 percent.

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Definitions:

Dividend Per Share

The amount of dividends paid to shareholders per share, indicating the distribution of company profits to shareholders.

Annual Dividend

The sum of all dividends a shareholder gets from a company over the course of a year.

Dividend Increases

An action taken by a company's board of directors to raise the amount of money paid to shareholders in the form of dividends, usually reflecting the company's strong financial health and positive future earnings outlook.

Rate Of Return

The financial result, be it profit or loss, of investing over a certain length of time, depicted as a percentage of the initial investment value.