Suppose a Basket of Goods and Services Has Been Selected

question 77

Multiple Choice

Suppose a basket of goods and services has been selected to calculate the CPI and 2004 has been selected as the base year. In 2002, the basket's cost was $50; in 2004, the basket's cost was $52; and in 2006, the basket's cost was $54.60. The value of the CPI in 2006 was

• A)91.6.
• B)95.2.
• C)105.0.
• D)109.2.

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Definitions:

Warmth-Sensitive Receptors

Sensory receptors in the skin and other organs that detect changes in temperature, particularly increases in warmth.

Hypothalamus

A region of the brain that plays a crucial role in hormone production, regulating bodily functions such as temperature, hunger, and sleep cycles.

Peripheral Vasodilation

The widening of blood vessels away from the heart, typically in the limbs, reducing blood pressure and increasing blood flow.

Axilla

commonly known as the armpit, is the area on the human body under the joint where the arm connects to the shoulder.