Question

The Index Numbers of five commodities are 121, 123, 125, 126, 128 and the weights assigned to these are
respectively 5, 11, 10. 8. 6. Then, what is the weighted average Index Number?​

Answer 1

Explanation:

P = commodity

V = weight

PV = 121×5+ 123×11 + 125 × 10+ 126×8+ 128 × 6

= 4984

P = 40

weighted average = PV / V

index number

= 4984 / 40

= 124.6

Answer 2

Answer:

124.6

Explanation:

Weighted average index number is the average obtained by taking the sum of weighted index numbers and then diving it by total weights

Now as per given information,

Sum of weighted index numbers;

= (121×5) + (123×11) + (125 × 10) + (126×8) + (128 × 6)

= 4984

Total weights = 5 + 11 +10 + 8 +6 = 40

Weighted average index number = 4984 / 40

Weighted average index number = 124.6