Ask Question
BusinessBusiness
14 January, 04:27

Nancy's union has negotiated a three-year wage contract that provides for a 2.4% increase indexed to inflation. The rates of inflation are forecast to be 1.62%, 1.93% and 2.21% respectively. How will Nancy's wage increase be expressed in the new contract? A. COLA plus 1.6% B. COLA plus 1.9% C. COLA plus 2.4% D. COLA plus 2.2%

+1
Answers (1)
  1. 14 January, 07:07
    0
    C) COLA plus 2.4%

    Explanation:

    COLA stands for cost of living increase. It refers to the amount that Social Security benefits increase according to inflation rate. This way the Social Security payments should not lose purchasing power against rising inflation, because if inflation rises, the COLA will also increase.

    In this case, Nancy's union negotiated an agreement by which the union members' salaries would be 2.4% higher than COLA increases, so they will be 2.4% higher than inflation rate.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Nancy's union has negotiated a three-year wage contract that provides for a 2.4% increase indexed to inflation. The rates of inflation are ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Which of the following types of credit is issued and supported by a borrower's reliability, rather than the value of an asset? A. Collateralized credit B. Unsecured credit C. Revolving credit D. Installment credit
Answers (1)
How is the profit as a percentage of sales ratio calculated?
Answers (2)
Which of the directives in "The Dialogue Decalogue" would be the most difficult for you to put into practice if you participated in a dialogue with a person from a religious tradition other than your own (or any religious tradition, if you are not
Answers (1)
Which statement describes the equity‑efficiency trade‑off? There is always a more equitable outcome that is also more efficient. Government intervention can increase efficiency in a market. The least efficient economic outcome is the fairest outcome.
Answers (1)
Sarah earned $2,500 as a life guard over the summer. This was her only job and income taxes were deducted from her paychecks by her employer. For filing a tax return, what should Sara do?
Answers (1)
New Questions in Business
Oliver, a widower who does not live in a community property state, sold 50 acres of land he and his wife had paid $10,000 for in 1999. She died in 2009. As of the date of her death, the land was valued at $50,000 for estate tax purposes.
Answers (1)
What groups are especially hard hit by poverty?
Answers (1)
A production line at V. J. Sugumaran's machine shop has three stations. The first station can process a unit in 5 minutes.
Answers (1)
What is the marginal rate of substitution (MRS) and why does it diminish as the consumer substitutes one product for another?
Answers (1)
Taylor product inc. distributed 100 million coupons in 2016. the coupons are redeemable for 30 cents each. taylor anticipates that 70% of the coupons will be redeemed. the coupons expire on december 31, 2017.
Answers (1)
Home » Business » Nancy's union has negotiated a three-year wage contract that provides for a 2.4% increase indexed to inflation. The rates of inflation are forecast to be 1.62%, 1.93% and 2.21% respectively.
Sign Up Forgot Password?