Which Statement Is Correct

question 118

Multiple Choice

Which statement is correct?

• A) The percentage change in the nominal wage plus the percentage change in the price level equals the percentage change in the real wage.
• B) The percentage change in the real wage minus the percentage change in the price level equals the percentage change in the nominal wage.
• C) The percentage change in the price level minus the percentage change in the nominal wage equals the percentage change in the real wage.
• D) The percentage change in the nominal wage minus the percentage change in the price level equals the percentage change in real wage.

---

Definitions:

Public Welfare

Government efforts and programs designed to support the well-being of the population, including health care, education, and social services.

Double-Declining Balance

A method of accelerated depreciation where an asset's value decreases at double the rate of traditional straight-line depreciation.

Salvage Value

The estimated amount that an asset is expected to realize at the end of its useful life.

Straight-Line Depreciation

Straight-line depreciation is a method of allocating the cost of a tangible asset over its useful life evenly.