Suppose a Basket of Goods and Services Has Been Selected

question 114

Multiple Choice

Suppose a basket of goods and services has been selected to calculate the CPI and Year 1 has been selected as the base year. In Year 1, the basket's cost was $50; in Year 2, the basket's cost was $52; and in Year 3, the basket's cost was $55. The value of the CPI in Year 3 was

• A)90.9.
• B)104.0.
• C)105.0.
• D)110.0.

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Definitions:

Low-Cost Provider

A business strategy focusing on gaining competitive advantage by being the lowest cost producer in its industry or market segment, often by minimizing production costs.

Competitive Edge

A unique advantage that allows an organization to outperform its competitors, often through superior products, processes, or services.

Michael Porter

A renowned economist known for his theories on economics, business strategy, and competitive advantage.

Workforce Plan

A strategic approach to ensuring an organization has the right number and kind of people, with the right skills, in the right places, at the right times.