INDEX NO

____ mean importance assigned to different commodities included in the index

A. Price

B. Weights

C. Both

D. None

• A

• B

• C

• D

____ is a special type of average which provides a measurement of relative changes from time to time or from place to place.

A. variance

B. index numbers

C. time series

D. none

• A

• B

• C

• D

The base year for index numbers should be…………..

A. none

B. normal period

C. a year only

D. a period at distant part

• A

• B

• C

• D

Index Number reveals the state of

A. Inflation

B. None

C. Deflation

D. Both

• A

• B

• C

• D

Laspeyre’s index formula uses the weights of the

A. None of the above

B. Base year

C. Current year

D. Average of the weights of a number of years

• A

• B

• C

• D

Index numbers are expressed in

A. Percentage

B. Average

C. Both

D. None

• A

• B

• C

• D

Commodities which show considerable price fluctuations could be best measured by a…………….

A. price index

B. quantity index

C. value index

D. quality

• A

• B

• C

• D

A weighted aggregate price index where the weight for each item is its current-period quantity is called the

A. Aggregate index

B. Laspeyres Index

C. Paasche Index

D. Consumer Price Index

• A

• B

• C

• D

____ is the ratio of the price of a certain commodity at the current year to its price at the base year.

A. none

B. relative price

C. price relative

D. price index

• A

• B

• C

• D

A weighted aggregate price index where the weight for each item is its base period quantity is known as the

A. CPI

B. Paasche Index

C. Laspeyres Index

D. Producer Price Index

• A

• B

• C

• D