Using the previously-described technique for converting indices from one base to another, if we wanted to calculate
Question:
Using the previously-described technique for converting indices from one base to another, if we wanted to calculate the price of oil on the basis of a constant value of US dollars for the year 2007, the calculation is as shown in Figure 9.9.
Transcribed Image Text:
8708588 Example 9.9 Im Year 1980 1981 1982 1983 1904 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2000 2009 2010 2011 Oil price $317.42 $35.75 $31.83 $29.08 $28,75 $26.92 $14.44 $17.75 $14.87 $18.33 $23.19 $20.20 $19.25 $16.75 $15.66 $16.75 $20 46 $18.64 $11.91 $16.56 $27.39 $23.00 $22.81 $27.69 $37.66 $50.04 $58.30 $54.20 $91.48 $53.48 $71.21 $87.04 CPI 2000-100 47.86 52.8 56 04 57.64 60.33 62.47 63 65 65.98 68.67 71.99 75.00 79.09 81 48 83.89 86.08 68.49 91.09 $3.22 94.66 96.73 1000 102.83 Figure 9.9 Deflated oil prices with CPI 104 46 106 83 109.69 113.41 117.07 120 41 125.03 124.69 126 63 130.63 Oil price in constant 2007 S 594 14 $81.53 $68.39 $60.54 $57.38 561.89 527 32 $32.39 $26.07 $30.66 $36.00 $30.75 $28.45 $24.04 $21.91 $22.79 $27.05 $24.08 $15.15 $20.61 $32.18 $26.93 $26.29 531.21 541.34 $63.13 $59.95 $64.20 560.10 $51.69 567.71 $80.23 Formular CA(50531/04) -C35($D$31/035)
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
Th e calculation shown in the Excel solution helps us with simple questions ...View the full answer
Answered By
Benish Ahmad
I'm a professional software engineer. I'm lectutrer at GCUF and I have 3 years of teaching experience. I'm looking forward to getting mostly computer science work including:
Programming fundamentals
Object oriented programming
Data structures
object oriented design and analysis
Database system
Computer networks
Discrete mathematics
Web application
I am expert in different computer languages such as C++, java, JavaScript, Sql, CSS, Python and C#. I'm also have excellent knowledge of essay writing and research. I have worked in other Freelancing website such as Fiverr and Upwork. Now I have finally decided to join the SolutionInn platform to continue with my explicit work of helping dear clients and students to achieve their academic dreams. I deliver plagiarism free work and exceptional projects on time. I am capable of working under high pressure.
5.00+
2+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
In February 2015, Majdy I. was appointed as a Chief Executive Manager of the Manufacturing Company by Mamoun N., President. Majdy had wide executive experience in the manufacturing sector with high...
-
Assume that you are looking at three perpetuities. Perpetuity 1 (P) has annual cash flows of $850 in Years 1 through infinity (1 - oo) and a present value at Year 0 of $10,119.047619. Perpetuity 2...
-
On January 1, the company issued 10-year bonds with a face value of $200,000. The bonds carry a coupon rate of 10%, and interest is paid semiannually. On the issue date, the market interest rate for...
-
In Chapter 7 you developed a use case diagram, a class diagram, and a system sequence diagram for the use cases Recording a traffic ticket and Scheduling a court date. Based on those solutions or...
-
If the IRR of Alternative \(A\) is 18 percent, the IRR of Alternative B is 16 percent, and MARR is 12 percent, which of the following is correct? a. Alternative B is preferred over Alternative A. b....
-
Near the end of 2011, the management of Simid Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2011. To prepare a master budget for January,...
-
What is Data Manipulation Language in SQL ? What are the Benefits of DML? What is DML command with example?
-
Go to one of the websites that allow you to download financial time series (e.g. http://finance.yahoo.com/) and plot the series of your choice in several identical line graphs. Change the scale of...
-
Skodel Ltd is considering investing into technology stocks. As a test case, it looked at Microsoft-adjusted monthly closing values of stocks between 1 March 2001 and 1 August 2008. The time series is...
-
A multiple comparison procedure for comparing four Ed treatment means produced the confidence intervals shown here. Rank the means from smallest to largest. Which means are significantly different?...
-
The density-speed relationship for a freeway lane was found to be: u 54.5-0.24k Speed is given by u, density is given by k, and flow is given by q. Determine: a. speed at capacity b. density at...
-
State your ideas/thoughts using one to two sentences only. 1.How can we fill our family life with love? 2.Everyone basically wants to have a stable family, peaceful family life. But in marriage and...
-
Can you please explain in simple words what is to do in this assignment.. like how should we present the leadership strategies? I only want to make sure I understand the assignment. The students...
-
You sell a forward on gold with a forward price F(0)=$1750. Spot gold is traded at S(0)=$1725. Gold price at expiration is S(T)=$1800 at expiration. Your payoff is (you receive) ...
-
How is Covid impacting or impacted the aviation industry? 1. what kind of a material response was needed to address the situation. 2. what kind of a communication-based response was needed to address...
-
Regis One Company has outstanding 10,000 shares of $10 par common stock which had been issued at $42 per share. Regis One then entered into the following transactions. 1. Purchased 1,000 treasury...
-
The comparative statements of financial position of Menachem NV at the beginning and end of the year 2019 appear below. Net income of ¬34,000 was reported, and dividends of ¬23,000 were paid...
-
A student has a job that leaves her with $250 per month in disposable income. She decides that she will use the money to buy a car. Before looking for a car, she arranges a 100% loan whose terms are...
-
The student in Problem 5-27 finds a car she likes and the dealer offers to arrange financing. His terms are 12% interest for 60 months and no down payment. The car's sticker price is $12,000. Can she...
-
The student in Problem 5-28 really wants this particular car. She decides to try and negotiate a different interest rate. What is the highest interest rate that she can accept, given a 60-month term...
-
1) How might credit card companies keep their cardholders in debt for a long time? What payment do the credit card companies expect your friend to make so that he never pays down the debt? 2) Can you...
-
Discuss whether the company should raise finance (via any means) if it has a project available with a net present value of BD 10million
-
Consider total assets: 750,000 and liabiltiy 750,000 with stock holders equity 27,0000. and Suppose Lehman's commercial real estate is worth 0 with probability of 0.2 and 39.5 billion with...
Study smarter with the SolutionInn App