Table 16-6

question 206

Multiple Choice

Table 16-6.The table below applies to an economy with only two goods - hamburgers and hot dogs.The fixed basket consists of 4 hamburgers and 8 hot dogs.

-Refer to Table 16-6.Which of the following scenarios is consistent with this statement? "The cost of living increased by 25 percent between 2009 and 2011."

• A) The price of a hot dog was $2.24 rather than $3.00 in 2009,with other prices in the table remaining fixed.
• B) The price of a hot dog was $4.07 rather than $3.63 in 2011,with other prices in the table remaining fixed..
• C) The price of a hamburger was $4.24 rather than $5.00 in 2009,with other prices in the table remaining fixed.
• D) The price of a hamburger was $5.96 rather than $5.61 in 2011,with other prices in the table remaining fixed.

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Definitions:

Fraudulent Misrepresentation

A false statement made knowingly, without belief in its truth, or recklessly, carelessly whether it is true or false, with the intent that someone else would rely on it and suffer loss.

Intentionally Misleading

Deliberately providing false or deceptive information.

Intentional Misrepresentation

is the act of knowingly providing false information with the intent to deceive or mislead another party, often resulting in legal consequences.

Rescission

The act of revoking, canceling, or annulling a contract, returning the parties to their positions prior to the contract's execution.