Suppose Jack's Salary Increased from $100,000 to $200,000 Per Year

question 109

Multiple Choice

Suppose Jack's salary increased from $100,000 to $200,000 per year between 2004 and 2014 and the price index increased from 100 to 300 during the same period.Which of the following statements best describes Jack's situation?

• A)His real income and money income have both increased.
• B)His real income has increased and money income has decreased.
• C)His real income and money income have both decreased.
• D)His real income has decreased and money income has increased.
• E)His real income has remained unchanged.

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Definitions:

Cognitive Bias

An organized tendency to deviate from normal or logical thinking in making judgments, leading to conclusions about people and situations that are drawn illogically.

Balanced Scorecard Framework

A strategic planning and management system used to align business activities with the vision and strategy of the organization, improve internal and external communications, and monitor organizational performance.

Strategic Initiatives

Long-term plans or actions taken by a business to achieve its goals and improve its competitive position.

CSR Efforts

Initiatives taken by a company to assess and take responsibility for its effects on environmental and social well-being, often going beyond compliance and engaging in actions that further social good.