Construct index number of price from the following date by using Paasche's method:
|
Commodities |
2015 |
2016 |
||
|
|
Price (₹) |
Qty (Kg.) |
Price (₹) |
Qty (Kg.) |
|
A |
2 |
8 |
4 |
6 |
|
B |
5 |
10 |
6 |
5 |
|
C |
4 |
14 |
5 |
10 |
|
D |
2 |
19 |
2 |
15 |
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → 125.23
| Commodities |
$p_0$ |
$q_0$ |
$p_1$ |
$q_1$ |
$p_0q_0$ |
$p_1q_0$ |
$p_0q_1$ |
$p_1q_1$ |
|
A |
2 |
8 |
4 |
6 |
16 |
32 |
12 |
24 |
|
B |
5 |
10 |
6 |
5 |
50 |
60 |
25 |
30 |
|
C |
4 |
14 |
5 |
10 |
56 |
70 |
40 |
50 |
|
D |
2 |
19 |
2 |
15 |
38 |
38 |
30 |
30 |
|
Total |
|
|
|
|
$\sum p_0q_0 = 160$ |
$\sum p_1q_0= 200$ |
$\sum p_0q_1= 107$ |
$\sum p_1q_1= 134$ |
Paasche's Method:
$P_{01} = \frac{\sum p_1q_1}{\sum p_0q_1} \times 100 = \frac{134}{107} \times 100 = 125.23 \text{}$