Asked by Manpreet Dhaliwal on May 15, 2024
Verified
Suppose a group of consumers spends 30% of its disposable income on food, 20% on clothing, and 50% on rent. If over the course of a year the price of food rose 10%, the price of clothing dropped 5%, and rent rose 15%, what was the average price increase experienced by these consumers?
Disposable Income
The amount of money an individual or household has to spend or save after taxes have been deducted.
Price Increase
A rise in the cost of goods or services, often reflecting inflation or demand changes.
- Carry out elementary calculations with percentages to scrutinize economic shifts and investment potentials.
Verified Answer
CP
Learning Objectives
- Carry out elementary calculations with percentages to scrutinize economic shifts and investment potentials.