Two Methods Used to Adjust Nominal Values for Inflation Are

question 115

Multiple Choice

Two methods used to adjust nominal values for inflation are:

• A)substituting and complementing.
• B)indexing and deflating.
• C)aggregating and disaggregating.
• D)real and nominal.

---

Definitions:

Marginal Revenue

The extra revenue obtained by selling an additional unit of a product or service.

Marginal Cost

The increase in cost resulting from the manufacture of one extra product or service unit.

Average Total Cost

The total cost of production divided by the quantity produced, including both fixed and variable costs.

Total Profit

The total income a business earns after subtracting all expenses, taxes, and costs associated with producing and selling its goods or services.