Tiêu đề 2nd stats ch 02.pdf ✅

Chapter 2 Index Numbers Question 5. What is a price relative? Answer: Price Relative is the price in the current year expressed as percentage of the price in the base P = p1p0 × 100 Question 6. Write the formula for unweighted geometric mean index number . Answer: Question 7. The sum of the price relaives of 5 different is 220. Find suitable Unweighted price index number Answer: Here Unweighted price Index number: P01 = = 40 Question 8. If cost of living Index number of 2005 is 225 with 1995 as a base year, what is the change in the Index? Answer: The percentage change in consumer prices is 125% Question 9. Define consumer price/cost of living index number. Answer: “Cost of living index number is the index number of the cost met by a Specified class of consumers in buying a basket of goods and services.” Question 10. Why Index numbers are called ‘Economic Barometers’? Answer: A Barometer measures the pressure of the atmosphere. An index number indicates the changes occurring in Economic field such as variations in price, costs, growth rate, imports, exports of certain commodities etc.
Chapter 2 Index Numbers Question 11. Theoretically which best average is used in the construction of Index Number? Answer: Geometric mean Question 12. Price index number for the current is 200, give your conclusion. Answer: There is a net increase of prices by 100% in the current year as compared to base year Question 13. Mention any two steps in the construction of Index Number. Answer: Any two of the following : 1. Purpose and the scope 2. Selection of base period or 3. Selection of commodities or items 4. Obtaining price quotations 5. Choice of an average 6. 6. Selection of weights 7. Selection of suitable formula Question 14. Name the 2 methods of computing Consumer price Index (cost of living Index) Number? Answer: Aggregative expenditure method(AEM) & Family Budget method (FBM). Question 15. What do you mean by ‘Family Budget Survey’ conducted while constructing consumer price index number? Answer: A detailed enquiry/survey regarding the consumption pattern and the average expenditure spent on various item under the heads-Food, Cloth, Rent, Fuel & Lighting, Education, Entertainment, & Miscellaneous, required for day to day living of the consumers is conducted.