If Your Nominal Income in 2014 Is $50,000,and Prices Increase

question 72

Multiple Choice

If your nominal income in 2014 is $50,000,and prices increase by 50% between 2014 and 2017,then to have the same real income,your nominal income in 2017 must be

• A)$50,000.
• B)$75,000.
• C)$100,000.
• D)$150,000.

---

Definitions:

Average Selling Price

The average price at which a particular product is sold across different markets or channels.

Decreased By

A mathematical operation indicating subtraction or reduction in quantity or amount.

Decrease

A decrease refers to a reduction in size, number, value, or amount of a particular item or entity over time.

Percent Less

A term used to indicate a reduction in amount or rate by a specified percentage.