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Babe Ruth's 1931 salary was $80,000. Government statistics show a consumer price index of 15.2 for 1931 and 255.7 for 2019. Ruth's 1931 salary was equivalent to a 2019 salary of about a. $1,216,650. b. $1,536,980. c. $1,345,790. d. $1,131,400.

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Salary of ruth's is equivalent to $80,000*16.82=$1,345,790. hence appropriate option is C

What is the consumer price index?

A consumer price index is a price index, the price of a weighted average market basket of consumer goods and services purchased by households. Changes in measured CPI track changes in prices over time.

Calculation of Babe Ruth's salary:

CPI in 1931= 15.2

CPI in 2019=255.7

Therefore, the price rose by 255.7/15.2= 16.82 over the period

Ruth's earning=$80000

The Equivalent salary in 2019 will be as follows,

$80,000*16.82=$1,345,790

Thus, an equivalent salary is $1,345,790 .hence option C

Learn more about CPI:

https://brainly.com/question/12988188

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