Sample questions for midterm

Suppose the price index was 110 in 2004 120 in 2005

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Suppose the price index was 110 in 2004, 120 in 2005, and 125 in 2006. Which of the following statements is correct? 2006. If the CPI was 108.00 in 1942 and is 336.96 today, then $10 in 1942 purchased the same amount of goods and services as A. $31.20 purchases today. B. $38.89 purchases today. C. $28.89 purchases today. D. $2.57 purchases today.
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