6 Select the correct answer
Henry is an economist and wants to understand the relationship between inflation and consumer spending habits. For his research, he needs
the Consumer Price Index for 2014 and the inflation rate. Based on the prices of goods given, what will he find to be the CPI and inflation rate for
2014? Assume that a consumer's basket for three consecutive years consists of the following:
Year
Price of an Apple
Number of Apples
Consumed
Price of an Orange
Number of Oranges
Consumed
2012
3
3
2013
4
3
2
2014
5
1
5
Consider 2012 to be the base year
OA 100 CPI, 49.56 percent inflation
ОВ.
165 CPI, 45.40 percent inflation
Ос.
185 CPI, 55.35 percent inflation
OD
175 CPI, 60.56 percent inflation
OE 125 CPI, 50.60 percent inflation
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b. condominum i think

it is a i took the test.

of the three mortgage options that demarco and tanya have to choose from, the balloon payment mortgage would be their best option, over adjustable payment and fixed payment plans.ultimately, the balloon payment plan would save demarco and tanya overall, in interest, would cost less monthly, and they would only have to make these payments for 8 years, opposing to 30 years for adjustable or fixed payment plans. 

overall, demarco and tanya would save $80,811 if they chose balloon payments over fixed payments, and would save $116,711 if they choose balloon payments over adjustable payments. benefits with choosing fixed payments over adjustable payments is that, in the end, the payments will still be $836.30 a month, while with adjustable payments, the initial monthly payments will be $763.38 to $1082.70 a month, ultimately leading to a more costly purchase. benefits with choosing fixed payments over balloon payments are not present. benefits in choosing adjustable payments over is that it has a lower interest rate, and starts with lower monthly payments initially. benefits in choosing adjustable payments over balloon payments include a lower interest rate, and lower initial monthly payments. benefits in choosing balloon payments over fixed payments include lower interest rates, lower overall price, lower monthly payments, takes less time to pay off, and does not require a downpayment. benefits in choosing balloon payments over adjustable payments include, lower monthly payments (when averaged), takes less time to pay off, and lower overall price.

hence, option c, balloon payments, is the best option for demarco and tanya to make this purchase, for it will save them a minimum of $80811, and a maximum of $116,711.