If the Price Index Is 90 in the First Year

question 140

Multiple Choice

If the price index is 90 in the first year, and 80 in the next year, what happened to prices?

• A) Prices increased by about 11%.
• B) Prices decreased by about 10%.
• C) Prices increased by about 10%.
• D) Prices decreased by about 11%.
• E) Prices did not change.

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Definitions:

Interim Financial Statements

Financial reports prepared and presented for periods shorter than a fiscal year, such as quarterly or half-yearly, to provide timely information to decision-makers.

Interim Financial Reports

Financial statements that are reported on a less than annual basis, typically quarterly, to provide a continuous view of a company's financial health.

Statement of Comprehensive Income

A financial statement that displays all changes in equity during a period except those resulting from investments by and distributions to the company's owners.

International Regions

Geographic areas outside of a company’s home country where it conducts business activities, often considered in strategic decisions and reporting.