If the Relative Price of S in Terms of T

question 10

Multiple Choice

If the relative price of S in terms of T is 2 and S has a nominal price of $1,then the nominal price of T is

• A)$2.
• B)50 cents.
• C)1/2 S.
• D)Need more information to answer.

---

Definitions:

Inventory

The total amount of goods and materials held by a company for the purpose of resale or production.

Default Percent

The percentage of loans or debts that are not paid back in accordance with the terms agreed upon by borrowers and lenders.

Variable Cost

A cost that varies with the level of output or sales, such as materials and labor costs.

Monthly Interest Rate

The percentage of interest charged on a monthly basis on loans or credited to deposit accounts.