I an Index of 239

question 36

Multiple Choice

i. An index of 239.2 and an index of 86.4 are actually percents. ii. All indexes have the same base, namely 1982-84, written 1982 - 84 = 100.
iii. The base period for one index might be 1982-84, while the base period for another index might be 1977.

• A) (i), (ii), and (iii) are all correct statements.
• B) (i) and (ii) are correct statements but not (iii).
• C) (i) and (iii) are correct statements but not (ii).
• D) (ii) and (iii) are correct statements but not (i).
• E) (i), (ii), and (iii) are all false statements.

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Definitions:

Experience Curve Concept

The principle that the cost of production decreases as a company gains more experience in manufacturing a particular product, due to efficiencies and learning.

Cost Leadership

A competitive strategy that aims to achieve the lowest operational costs and prices among competitors in the industry.

Brand Loyalty

The tendency of consumers to continuously purchase one brand's products over competing ones due to preference or satisfaction.

Industry Alliance

A collaboration formed between companies in the same industry, often aimed at achieving strategic objectives such as technological advancements or market expansion.