Question

Quinn has job offers in Wrexington and across the country in Charlieville. The Wrexington job would pay a salary of $50,000 per year, and the Charlieville job would pay a salary of $40,000 per year. The CPI in Wrexington is 150, and the CPI in Charlieville is 90.____ 69. Refer to Scenario 24-4. If Quinn only cares about maximizing her purchasing power, then she shoulda. take the Charlieville job.b. take the Wrexington job.c. take either job because they both have the same purchasing power.d. The answer cannot be determined from the information given because a salary is not the same as purchasing power

Answer 1

Answer:

a. take the Charlieville job

Explanation:

The salary in Wrexington is $50,000 per year and CPI  is 150

The salary in Charlieville is $40,000 per year and CPI  is 90

now we need to compare the salaries dollar

The Wrexington in Charlieville dollar is CPI = 90/150*$50,0000 = $30,000 per year . This means $50,000 per year from Wrexington is worth $30,000 per year in Charlieville . The $30,000 per  is below the $40,000 per year is salary in Charlieville . There Quinn must take the Charlieville job . Answer is a.