The price of five different commodities for year 2018 and 2019 are as follows:
The price index number for the tear 2019 with 2018 as the base year, using sample average of price relatives is : |
230 203 233 320 |
230 |
The correct answer is Option (1) → 230 To find the price index, Price index = $\frac{1}{n}∑\left(\frac{Price\,in\,2019}{Price\,in\,2018}×100\right)$ ∴ Price Relative for A = $\frac{8}{4}×100=200$ Price Relative for B = $\frac{9}{3}×100=500$ Price Relative for C = $\frac{6}{2}×100=300$ Price Relative for D = $\frac{9}{6}×100=150$ Price Relative for E = $\frac{4}{2}×100=200$ ∴ Sample average = $\frac{1}{5}(200+300+500+150+200)$ $=\frac{1150}{5}=230$ |