I the Base Number for Most Indexes Is 1

question 24

Multiple Choice

i. The base number for most indexes is 1.
ii. Most business and economic indexes are carried either to the nearest whole percent, such as 312
Or 96, or to the nearest 10th of a percent, such as 97.5 and 178.6.
iii. Converting data to indexes makes it easier to compare the trend in a series composed of
Exceptionally large numbers.

• A) (i), (ii), and (iii) are all correct statements.
• B) (i) and (ii) are correct statements but not (iii).
• C) (i) and (iii) are correct statements but not (ii).
• D) (ii) and (iii) are correct statements but not (i).
• E) (i), (ii), and (iii) are all false statements.

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Definitions:

Treasury Bills

Treasury Bills are short-term government securities issued at a discount from the face value and redeemed at full face value upon maturity, typically used as a low-risk investment.

Opportunity Cost

The price paid for not selecting the next most favorable choice when deciding.

Market Interest Rates

The prevailing rates at which borrowers can obtain loans and lenders can invest in debt securities, influenced by the overall demand and supply.