Question
1. Given the information in the table, calculate real median income in 2018 (in terms of 2015 prices) Year 2015 2016 2017 2018 Nominal Median
1.
Given the information in the table, calculate real median income in 2018 (in terms of 2015 prices) | ||||
Year | 2015 | 2016 | 2017 | 2018 |
Nominal Median Income | $56,000 | $58,000 | $58,200 | $61,000 |
Price Level | 216 | 219 | 220 | 223 |
Group of answer choices
$58,500
$59,676
$59,085
$60,267
2.
What is the NOMINAL rate of return for (over) the whole period for investment A? | ||||
Year | 2015 | 2016 | 2017 | 2018 |
Nominal Price of Asset A | $119 | $128 | $130 | $133 |
Price Level | 118 | 135 | 136 | 138 |
Group of answer choices
2.82%
11.88%
2.88%
11.76%
3.
What is the REAL rate of return for the whole period (2015 to 2018) for investment A? | ||||
Year | 2015 | 2016 | 2017 | 2018 |
Nominal Price of Asset A | $120 | $128 | $130 | $145 |
Price Level | 117 | 135 | 136 | 138 |
Group of answer choices
2.42%
2.47%
2.45%
2.57%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started