As a newly hired compensation analyst, you've been asked by the Director of Compensation to assist with the preparation of next year's compensation plan for accounting jobs. The period for the compensation plan is January 1-December 31, 2018. Your assignment is to update salary survey data using the CPI-U to estimate new salary information. Also, assume that it is July 1, 2017, and you have been asked to submit your analysis within the next two days. The salary survey data were current through the end of 2016, and the initial average salary reported for accountant jobs in the survey was $50,000. The salary data will be 12 and 24 months old at the pay plan's implementation (on January 1, 2018) and end (December 31, 2018), respectively. You have been provided with national CPI-U data, which were obtained from the U.S. Bureau of Labor Statistics website. Year Jan Feb Mar Apr May Jun Jul Aug Sep Oet Nov Dec 2012 227.04 228.32 22.30 220,10 228.71 228.52 225-59 231.01 23124 291.22 2013 231,67 22:33 239.25 31.79 231.89 23244 232.90 23:45 23.10 2014 25 23646 236.36 23. 237 2314 23.04 2015 236.16 2799 2015 237 2016 238.03 2.1 2410 o . Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2012 227.84 228.32 228.80 229.18 228.71 228.52 228.59 229.91 231.01 231.63 231.24 231.22 2013 231.67 232.93 232.28 231.79 231.89 232.44 232.90 233.45 233.54 233.66 234.10 234.77 2014 235.34 235.52 235.95 236.46 236.86 237.18 237.48 237.43 237.45 237.44 237.04 236.27 2015 234.83 235.27 235.95 236.15 236.95 237.61 237.99 237.98 237:46 237.76 238.07 237 82 2016 237.99 237:53 238.02 238.84 239.43 240.07 240,05 240,56 241,01 241.66 242.08 242.78 2017 244,02 244,10 243.71 244.08 243.91 244:03 SO Questions: 7-10. 7-11. By what percent did the tost of goods and services change between December 2016 and June 2017 (a) By what percent might you expect the average cost of goods and services to change over the second 6-month period of 20177 Hint: First, calculate the percentage cost change for the period July through December for each of the previous years: 2012 through 2016. Second, take the average of these five figures. This calculation gives us the average percent cost change. Estimates based on multiple years gives us a more stable Questions: 7-10. 7-11. By what percent did the cost of goods and services change between December 2016 and June 2017 (a) By what percent might you expect the average cost of goods and services to change over the second 6-month period of 2017? Hint: First, calculate the percentage cost change for the period July through December for each of the previous years: 2012 through 2016. Second, take the average of these five figures. This calculation gives us the average percent cost change. Estimates based on multiple years gives us a more stable picture of percent cost changes. (b) What is the estimated average salary for December 31, 2017? Hint: [(initial average salary x average percent cost change) + initial average salaryl. (a) By what percent might you expect the average cost of goods and services to change between January 1, 2018 and December 31, 2018? Hint: First, calculate the percent cost change for the period January through December for each of the previous years: 2012 through 2016. Second, take the average of these five figures to calculate the average percent cost change. (b) What is the estimated average salary for December 31, 20187 Hint: (December 2017 average salary x average percentage cost change). December 2017 average salaryl. 7-12