If the Price of Good X Is $90 and the Price

question 31

Multiple Choice

If the price of good X is $90 and the price of good Y is $30,it follows that the relative price of one unit of good Y is ___________ unit(s) of good X.

• A) 0.33
• B) 1.33
• C) 3.00
• D) 2.00
• E) There is not enough information to answer the question.

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Definitions:

Straight-Line Amortization

Straight-line amortization is a method of evenly spreading out the cost of an intangible asset over its useful life.

Bond Carrying Value

The net value of a bond on a company's balance sheet, equivalent to the bond's face value adjusted for any premiums paid or discounts received.

Straight-Line Amortization

A method of systematically reducing the book value of an intangible asset over its useful life by allocating equal amortization expenses each period.

Bond Interest Expense

The cost a company incurs for borrowing money through issuing bonds, represented as interest payments to bondholders.