The "Income Terms of Trade" Index Would Be Calculated by Which

question 11

Multiple Choice

The "income terms of trade" index would be calculated by which one of the following formulas (where P_X = price index of exports, P_M = price index of imports, Q_X = quantity index of exports, and Q_M = quantity index of imports) ?

• A) (P_X/P_M).100
• B) (Q_M/Q_X).100
• C) (P_X.Q_X)/P_M
• D) (P_X.Q_X)/(P_M.Q_M ).100

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Definitions:

No-Haggle

A sales strategy where the seller sets a fixed price for a product or service, eliminating negotiation on the price.

Sales Policy

A set of guidelines and directives that govern how sales operations and activities are conducted within an organization.

Retail Sales

Transactions of goods or services purchased directly by the end consumer from outlets, reflecting the overall demand and economic condition in the retail sector.

United States

A country located in North America, known for its economic and military strength as well as its cultural influence globally.