Which of the Following Statements Is Correct

question 5

Multiple Choice

Which of the following statements is correct?

• A)The CPI can be used to compare dollar figures from different points in time.
• B)The percentage change in the CPI is a measure of the inflation rate,but the percentage change in the GDP deflator is not a measure of the inflation rate.
• C)Compared to the consumer price index (CPI),the GDP deflator is the more common gauge of inflation.
• D)The GDP deflator better reflects the goods and services bought by consumers than does the CPI.

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Definitions:

General Partners

Individuals or entities that participate in the management of a partnership and have unlimited personal liability for the debts and obligations of the partnership.

Limited Partners

Individuals in a partnership who have limited liability to the extent of their investment in the company and do not participate in day-to-day management.

Limited Partner

A partner in a business venture who doesn't participate in daily operations and whose financial responsibility is capped at their investment level.

Limited Partnership

A limited partnership is a business structure with at least one general partner, who manages the business and is fully liable, and one or more limited partners, whose liability is restricted to their investment.