maths

posted by .

Choose the two true statements from the following.

a)if the AEI increases by 30% a year and the RPI increases by 11.0% in the same year, then real earnings have gone down by 8.0%
b)a new baby’s parents are given £400 to invest for the baby, to be left untouched until she is 18 years old, in an account which has a guaranteed rate of interest of at least t4.5% annum. If no more money is put into the account, there will be at least £880 in the account at the end of a full 18 years.
c)If the CPI is 130.0 and the base year was taken as five years ago, then the annual rate of inflation must be 6%.
d) The cost of a stereo system is advertised with a reduction of 30%. The buyer will pay more if VAT is added on before the reduction in price, instead of VAT being added on after the reduction in price.
e) A price ratio of 1.2 corresponds to price increases of 12%.
f) An index-linked pension is worth exactly the same in real terms year after year.

would it be D and A??


Choose the two true statements from the following.

a)if the AEI increases by 30% a year and the RPI increases by 11.0% in the same year, then real earnings have gone down by 8.0%
b)a new baby’s parents are given £400 to invest for the baby, to be left untouched until she is 18 years old, in an account which has a guaranteed rate of interest of at least t4.5% annum. If no more money is put into the account, there will be at least £880 in the account at the end of a full 18 years.
c)If the CPI is 130.0 and the base year was taken as five years ago, then the annual rate of inflation must be 6%.
d) The cost of a stereo system is advertised with a reduction of 30%. The buyer will pay more if VAT is added on before the reduction in price, instead of VAT being added on after the reduction in price.
e) A price ratio of 1.2 corresponds to price increases of 12%.
f) An index-linked pension is worth exactly the same in real terms year after year.

would it be D and A??


f is true, if the "index" is the cost of living index
c is false, becasue it neglects compounding
e is false; it corresponds to a 20% rise in price
because of missing ? infrmation, (b) cannot be answered.
I don't know ahat AEI and RPI are in (a)

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. math

    A) If the AEI increases by 3.0% a year and the RPI increases by 11.0% in the same year, then real earnings have gone down by 8% B) A new baby's parents are given £400 to invest for the baby, to be left untouched until she is 18 years …
  2. microeconomics: work-leisure model

    Consider the work-leisure model. Assume leisure is a normal good and suppose the wage rate(W) increases, then in this case we will have the following. Substitution effect: W increases => hours of leisure decrease Income effect has …
  3. Prin of finance

    Which of the following statements are true of a “two-for-one stock split?
  4. Mathamatics

    Choose the two true statements from the following. Options A) If the rate of inflation as measured by the RPI is 2%, then a pension index linked to the RPI will increase by 2%. B) A price ratio of 0.8 corresponds to a price decrease …
  5. chem please help drbob222

    If the internal energy of an object remains constant, which of the following statements is true regarding the object's potential energy?
  6. math

    A man was injured in an accident at work he receives a disability grant of R4800 in the first year. This grant increases with a fixes amount each year.. a). What is the annual increase if over 20 years he would have received a total …
  7. math (sequence and series )

    Mr. Mensah starts a job with an annual salary of $240,every year. After working for eight years, Mr Mensah is promoted to a new post with an annual salary of $9500 which increases by $360 every year,calculate (a) Mr Mensah's salary …
  8. math (sequence and series )

    Mr. Mensah starts a job with an annual salary of $240,every year. After working for eight years, Mr Mensah is promoted to a new post with an annual salary of $9500 which increases by $360 every year,calculate (a) Mr Mensah's salary …
  9. Advanced Algebra

    salary increases: A man gets a job with a salary of $30000 a year. He is promised a $2300 raise each subsequent year. Find the total earnings for a 10 year period. Arithmetic Sequence,:
  10. Algebra

    Salary Increases: A man gets a job of $30000 a year. He promised $2300 raise each subsequent year. Find his total earnings for a 10-year period.

More Similar Questions