Suppose a Basket of Goods and Services Has Been Selected

Multiple Choice

Suppose a basket of goods and services has been selected to calculate the CPI and Year 1 has been selected as the base year. In Year 1, the basket's cost was $50; in Year 2, the basket's cost was $52; and in Year 3, the basket's cost was $55. The value of the CPI in Year 3 was

A) 90.9.
B) 104.0.
C) 105.0.
D) 110.0.