Typical estimates of the sacrifice ratio suggest that a one-percentage-point reduction in the inflation rate requires A. a sacrifice of 5 percent of government spending. B. a 5 percent increase in the government budget deficit. C. an increase in the unemployment rate of 5 percentage points. D. a sacrifice of 5 percent of annual output.

Palmer frosted flakes company offers its customers a pottery cereal bowl if they send in 3 boxtops from palmer frosted flakes boxes and $1. the company estimates that 60% of the boxtops will be redeemed. in 2012, the company sold 675,000 boxes of frosted flakes and customers redeemed 330,000 boxtops receiving 110,000 bowls. if the bowls cost palmer company $3 each, how much liability for outstanding premiums should be recorded at the end of 2012?