Calculate price index number for 1990 taking 2010 as the base year from the following data by simple aggregative method:

164.29

The correct answer is Option (2) → 164.29

The Simple Aggregative Price Index ($P_{01}$) is given by:

$P_{01} = \frac{\sum p_1}{\sum p_0} \times 100$

Where:

• $\sum p_0$ = Total price of all items in the base year (1990)
• $\sum p_1$ = Total price of all items in the current year (2010)

Calculation Table

Apply the formula:

$P_{01} = \frac{575}{350} \times 100$

$P_{01} \approx 1.64285 \times 100$

$P_{01} = 164.29$