Construct index number of price from the following date by using Marshall-Edgeworth method:
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180.62 129.09 125.25 125.09 |
125.09 |
The correct answer is Option (4) → 125.09
Marshall-Edgeworth Method: $P_{01} = \frac{\sum p_1(q_0 + q_1)}{\sum p_0(q_0 + q_1)} \times 100 = \frac{\sum p_1q_0 + \sum p_1q_1}{\sum p_0q_0 + \sum p_0q_1} \times 100$ $= \frac{200 + 134}{160 + 107} \times 100$ $= \frac{334}{267} \times 100 = 125.09$ |