Question
7. Sarah's wage is $18 per hour and the CPI is 162 in this year. Suppose, she gets paid at $19 per hour and the
7. Sarah's wage is $18 per hour and the CPI is 162 in this year. Suppose, she gets paid at $19 per hour and the CPI rises to 180 next year. What has happened to her nominal and real wages?
A. Sarah's nominal wage has increased but her real wage has not changed.
B. Sarah's real and nominal wages have each increased by the same percentage.
C. Sarah's nominal wage has increased but her real wage has declined.
D. Sarah's real wage has increased by a larger percentage than her nominal wage.
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Accounting
Authors: Carl warren, James Reeve, Jonathen Duchac, Sheila Elworthy,
Volume 1, 2nd canadian Edition
176509739, 978-0176509736, 978-0176509743
