Consternation Corporation Has an Agreement with Its Workers to Index

question 33

Multiple Choice

Consternation Corporation has an agreement with its workers to index completely the wage of its employees using the CPI.Consternation Corporation currently pays its production line workers $8.00 an hour and is scheduled to index their wages today.If the CPI is currently 160 and was 128 a year ago,the firm should increase the hourly wages of its workers by

• A)$0.25.
• B)$1.60.
• C)$2.00.
• D)$2.56.

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