-The Data in the Table Above Show the Consumption by Families

question 51

Multiple Choice

-The data in the table above show the consumption by families in a small (poor) economy. The families consume only salt and bread. The reference base period is 2011. The CPI in 2012 is

• A) 100.
• B) 18.8
• C) 118.8
• D) 23.1
• E) 123.1

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Definitions:

Paid-in Capital

The amount of capital provided by shareholders in exchange for shares of stock during the initial offering or through subsequent stock offerings.

Retained Earnings

The portion of a business's profits not distributed to shareholders but instead reinvested in the business or kept as reserve.

Paid-in Capital

The amount of capital "paid in" by investors during common or preferred stock issuances, including the par value of the shares and amounts over par value.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock, often with dividends that are paid out before common stock dividends.