The Consumer Price Index Was 247 in Year 1 and 272

question 120

Multiple Choice

The consumer price index was 247 in year 1 and 272 in year 2.The rate of inflation in year 2 was about:

• A)12 percent.
• B)10 percent.
• C)8 percent.
• D)6 percent.

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Definitions:

Vendor Transaction

A business event that involves the purchase of goods or services from a supplier.

Expense

An outflow of money or other resources spent by a business or individual in the course of generating revenue.

Bill

An invoice or statement of charges for goods or services provided.

Account Payable

An obligation of a business to pay a short-term debt to its suppliers or vendors for goods or services received.