Construct the cost of living index of 2014 using family budget method Expenses % base year 2000 2014 Food 40 150 174 Rent 15 50 60 Clothing 15 100 125 Fuel 10 20 25 Misc 20 60 90

Given that, Expenses % base year 2000 2014 Food 40 150 174 Rent 15 50 60 Clothing 15 100 125 Fuel 10 20 25 Misc 20 60 90 Let p 0 , p 1 be the prices of the expenses of the base year and current year and the Σ w = 100 . Tabular form: Expenses % ( w ) base year ( 2000 ) p 0 2004 ( p 1 ) p = p 1 p 0 × 100 w p Food 40 150 174 116 4640 Rent 15 50 60 120 1800 Clothing 15 100 125 125 1875 Fuel 10 20 25 125 1250 Misc 20 60 90 150 3000 ∑ w = 100 ∑ w p = 12565 We know that, the family budget method consumer price index number P 01 = ∑ w p ∑ p × 100 . Now, P 01 = 12585 100 = 125 . 65 . ∴ Cost of living index using family budget method is 125 . 65 .

Construct the cost of living index of 2014 using family budget method Expenses % base year 2000 2014 Food 40 230 162 Rent 15 47 41 Clothing 15 115 134 Fuel 10 130 49 Misc 20 70 87

Given that, Expenses % base year 2000 2014 Food 40 230 162 Rent 15 47 41 Clothing 15 115 134 Fuel 10 130 49 Misc 20 70 87 Let p 0 , p 1 be the prices of the expenses of the base year and current year and the Σ w = 100 . Tabular form: Expenses % ( w ) base year ( 2000 ) p 0 2004 ( p 1 ) p = p 1 p 0 × 100 w p Food 40 230 162 70 . 43 2817 . 2 Rent 15 47 41 87 . 23 1308 . 45 Clothing 15 115 134 116 . 52 1747 . 8 Fuel 10 130 49 37 . 7 377 Misc 20 70 87 124 . 28 2485 . 6 ∑ w = 100 ∑ w p = 8736 . 05 We know that, the family budget method consumer price index number P 01 = ∑ w p ∑ w × 100 . Now, P 01 = 8736 . 05 100 = 87 . 36 . ∴ Cost of living index using family budget method is 87 . 36 .

The weighted aggregative price index numbers for 2001 with 2000 as the base year using Marshal Edgeworth Index Number is Commodity Price in Quantities 2000 2001 2000 2001 A 10 12 20 22 B 8 8 16 18 C 5 6 10 11 D 4 4 7 8

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

If Laspeyre’s index number is

110

and Fisher’s ideal index number is

109

. Then Paasche’s Index number is

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Fisher’s ideal index does not satisfy ______ test

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Fisher's ideal formula does not satisfy test______.

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Index Number are expressed as _________

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

The value of the base time period serves as a standard point of comparison:

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

The consumer price Index goes up from

120

to

180

when salary goes up from

₹ 240

to

₹ 540

, what is the increase in real terms?

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

The weighted aggregative price index hymbers for $2001$ with $2000$ as the base year using Fisher's Index Number is

Commodity	Price (in $₹$ )		Quantities
	$2000$	$2001$	$2000$	$2001$
$A$	$10$	$12$	$20$	$22$
$B$	$8$	$8$	$16$	$18$
$C$	$5$	$6$	$10$	$11$
$D$	$4$	$4$	$7$	$8$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

For year

2015

, price index was

267 %

with base year

2005

. The percentage increase in price index over base year

2005

is_____.

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

The weighted aggregative price index numbers for $2001$ with $2000$ as the base year using Paasche's Index Number is:

Commodity	Price (in $₹$ )		Quantities
	$2000$	$2001$	$2000$	$2001$
$A$	$10$	$12$	$20$	$22$
$B$	$8$	$8$	$16$	$18$
$C$	$5$	$6$	$10$	$11$
$D$	$4$	$4$	$7$	$8$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Define index numbers According to spiegal and List the methods of construction of index numbers.

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

An enquiry into the budgets of the middle class families in a city in India gave the following information.

What change in the cost of living figures of 2015 has taken place as compared to 2014?

Expenses on	Food	Rent	Clothing	Fuel	Mise
Expenses on	$35 %$	$15 %$	$20 %$	$10 %$	$20 %$
Price in 2014	$450$	$90$	$225$	$75$	$120$
Price in 2015	$435$	$90$	$195$	$69$	$135$

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Construct the consumer price index number of 2015 on the from the following data using the average expenditure method

Commodity	Quantity consumed in 2014	Price in 2014	Price in 2015
A	$10$ Quintal	$12$	$8$
B	$5$ Quintal	$20$	$25$
C	$6$ Quintal	$7$	$12$
D	$3$ Quintal	$3$	$9$
E	$4$ Kg	$11$	$13$
F	$8$ Kg	$15$	$20$

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Construct the consumer price index number of 2015 on the from the following data using the family budget method.

Commodity	Quantity consumed in 2014	Price in 2014	Price in 2015
A	$28$ Quintal	$22$	$30$
B	$12$ Quintal	$15$	$17$
C	$18$ Quintal	$20$	$10$
D	$3$ Quintal	$30$	$27$
E	$15$ Kg	$14$	$16$
F	$11$ Kg	$17$	$20$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

An enquiry into the budgets of the middle class families in a city in India gave the following information.

What change in the cost of living figures of 2015 has taken place as compared to 2014?

Expenses on	Food	Rent	Clothing	Fuel	Mise
Expenses on	$25 %$	$23 %$	$18 %$	$30 %$	$35 %$
Price in 2014	$230$	$75$	$325$	$65$	$220$
Price in 2015	$323$	$83$	$284$	$54$	$437$

MEDIUM

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Construct the consumer price index number of 2015 on the from the following data using the family budget method.

Commodity	Quantity consumed in 2014	Price in 2014	Price in 2015
A	$6$ Quintal	$5$	$6$
B	$6$ Quintal	$6$	$7$
C	$1$ Quintal	$5$	$6$
D	$6$ Quintal	$6$	$7$
E	$4$ Kg	$7$	$8$
F	$6$ Kg	$8$	$9$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Construct the cost of living index of 2014 using family budget method

Expenses	%	base year $2000$	$2014$
Food	$40$	$150$	$174$
Rent	$15$	$50$	$60$
Clothing	$15$	$100$	$125$
Fuel	$10$	20	$25$
Misc	$20$	$60$	$90$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Construct the cost of living index of 2014 using family budget method

Expenses	%	base year $2000$	$2014$
Food	$40$	$230$	$162$
Rent	$15$	$47$	$41$
Clothing	$15$	$115$	$134$
Fuel	$10$	$130$	$49$
Misc	$20$	$70$	$87$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

List the methods of construction of index numbers.

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

Calculate the consumer price index number for $2015$ on the basis of $2000$ from the following data.(Answer up to two decimal values)

Commodity	Quantity	Price
Commodity	Quantity	$2000$	$2015$
Wheat	$20$	$15$	$20$
Rice	$8$	$20$	$24$
Ghee	$2$	$160$	$200$
Sugar	$4$	$40$	$40$

EASY

Mathematics>Statistics>Index Numbers>Types and Uses of Index Numbers

List the methods of construction of index numbers and state Laspeyre's method.

The weighted aggregative price index numbers for $2001$ with $2000$ as the base year using Marshal - Edgeworth Index Number is:

Commodity Price (in $₹$ ) Quantities

$2000$ $2001$ $2000$ $2001$

$A$ $10$ $12$ $20$ $22$

$B$ $8$ $8$ $16$ $18$

$C$ $5$ $6$ $10$ $11$

$D$ $4$ $4$ $7$ $8$

Important Questions on Index Numbers

Learn and Prepare for any exam you want !

The weighted aggregative price index numbers for 2001 with 2000 as the base year using Marshal - Edgeworth Index Number is: Commodity Price (in₹) Quantities 2000 2001 2000 2001 A 10 12 20 22 B 8 8 16 18 C 5 6 10 11 D 4 4 7 8

Important Questions on Index Numbers

Learn and Prepare for any exam you want !

The weighted aggregative price index numbers for $2001$ with $2000$ as the base year using Marshal - Edgeworth Index Number is:

Commodity Price (in $₹$ ) Quantities

$2000$ $2001$ $2000$ $2001$

$A$ $10$ $12$ $20$ $22$

$B$ $8$ $8$ $16$ $18$

$C$ $5$ $6$ $10$ $11$

$D$ $4$ $4$ $7$ $8$