Answer true or false for the following statements:

1. The purchasing power of the $20 bill increases over time due to inflation.

2. The inflation rate measures the percentage change in the price index.

3. The GDP deflator is used to calculate the inflation rate.

4. John’s wage increases from $200 per day in year Y to $260 per day in year Z. At the same time, the CPI increases from 100 to 142. John is better off in year Z because his real income is higher.

5. The average person spends about 42% of their income on housing.

6. If the price index increases from 120 to 130 then the inflation rate during the past year was 10%.

7. If your employer gives you a raise that is equal to the inflation rate, then your real salary will have increased.

8. The consumer price index is calculated as: (the cost of a basket of goods in the base year/the cost of the basket of goods in the current year) x 100.

Price and efficiency variances, journal entries. the schuyler corporation manufactures lamps. it has set up the following standards per finished unit for direct materials and direct manufacturing labor: direct materials: 10 lb. at $4.50 per lb. $45.00 direct manufacturing labor: 0.5 hour at $30 per hour 15.00 the number of finished units budgeted for january 2017 was 10,000; 9,850 units were actually produced. actual results in january 2017 were as follows: direct materials: 98,055 lb. used direct manufacturing labor: 4,900 hours $154,350 assume that there was no beginning inventory of either direct materials or finished units. during the month, materials purchased amounted to 100,000 lb., at a total cost of $465,000. input price variances are isolated upon purchase. input-efficiency variances are isolated at the time of usage. 1. compute the january 2017 price and efficiency variances of direct materials and direct manufacturing labor. 2. prepare journal entries to record the variances in requirement 1. 3. comment on the january 2017 price and efficiency variances of schuyler corporation. 4. why might schuyler calculate direct materials price variances and direct materials efficiency variances with reference to different points in time

The green fiddle has declared a $5 per share dividend. suppose capital gains are not taxed, but dividends are taxed at 15 percent. new irs regulations require that taxes be withheld at the time the dividend is paid. green fiddle stock sells for $71.50 per share, and the stock is about to go ex-dividend. what will the ex-dividend price be?

Paid-in-capital in excess of par represents the amount of proceeds a. from the original sale of common stock b. in excess of the par value from the original sale of common stock c. at the current market value of the common stock d. at the curent book value of the common stock