A Report Indicated That the Average Real Wage in Manufacturing

question 130

Multiple Choice

A report indicated that the average real wage in manufacturing declined by 2% between 1990 and 2000.If the CPI equaled 1.30 in 1990, 1.69 in 2000, and the average nominal wage in manufacturing was $35 in 2000, what was the average nominal wage in manufacturing in 1990?

• A)$21.13
• B)$26.40
• C)$26.92
• D)$27.47

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Definitions:

Corporate Tax Rate

The percentage of a corporation's income that is paid to the government as tax.

CCA Class

In the context of Canadian taxation, a method to categorize depreciable property according to its class for the purpose of determining capital cost allowance rates.

Incremental Cash Flow

The additional cash flow a company receives from taking on a new project, considering both the inflows and outflows caused by the project.

Tax Rate

The percentage at which an individual or corporation is taxed; can refer to the nominal rate (before any deductions) or effective rate (after deductions).