Question

Commodity Prices in 2015
(p0) Prices in 2011
(p1)
A
B
C
D
E 50
40
10
5
2 80
60
20
10
6
∑ p0 = 107 ∑ p1 =​

Answer 1

Explanation:

Construct the Index Number for 2011 with 2015 as base from the following prices of commodities by simple (Unweighted) aggregative method.

Commodities : A B C D E

Prices in ₹(2015) : 50 40 10 5 2

Prices in ₹(2011) : 80 60 20 10 6

[Index Number = 164.48]

ANSWER:

Commodity Prices in 2015

(p0) Prices in 2011

(p1)

A

B

C

D

E 50

40

10

5

2 80

60

20

10

6

∑ p0 = 107 ∑ p1 = 176

p01=Σp1Σp0×100=176107=164.48

Thus, price index is 164.48.