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Define true value ratio

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प्रश्न

Define true value ratio

योग
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उत्तर

`(sum"p"_1"q"_1)/(sum"p"_0"q"_0)` is the ratio of the total value in the current period to the total value in the base period and this ratio is called the true value ratio.

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अध्याय 9: Applied Statistics - Exercise 9.2 [पृष्ठ २१९]

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सामाचीर कलवी Business Mathematics and Statistics [English] Class 12 TN Board
अध्याय 9 Applied Statistics
Exercise 9.2 | Q 10 | पृष्ठ २१९

संबंधित प्रश्न

Find the odd word

Types of index numbers -


Assertion (A): Index numbers are statistical devices.

Reasoning (R): Index numbers measure only changes in the price level over a period of time.


Mention the classification of Index Number


Define family budget method


The following are the group index numbers and the group weights of an average working class family’s budget. Construct the cost of living index number:

Groups Food Fuel and
Lighting
Clothing Rent Miscellaneous
Index Number  2450 1240 3250 3750 4190
Weight 48 20 12 15 10

Calculate the cost of living index by aggregate expenditure method:

Commodity Weight
2010
Price (Rs.)
2010 2015
P 80 22 25
Q 30 30 45
R 25 42 50
S 40 25 35
T 50 36 52

Choose the correct alternative:

Cost of living at two different cities can be compared with the help of


Compute the consumer price index for 2015 on the basis of 2014 from the following data.

Commodities Quantities Prices in 2015 Prices in 2016
A 6 5.75 6.00
B 6 5.00 8.00
C 1 6.00 9.00
D 6 8.00 10.00
E 4 2.00 1.50
F 1 20.00 15.00

Read the given passage and answer the questions:

Index Number is a technique of measuring changes in a variable or group of related variables with reference to time, geographical location and other characteristics.

Index Number is very useful for economists, farmers, traders, government, educationalists and trade union leaders for planning and implementing the plans according to their sector.

The scope of index number is not limited to only one subject but it extends to many subjects such as Economics, Educational science, Psychology, History, Sociology, Geography etc.

While framing index number its objective must be determined. To attain the objective the information is collected in various ways and this information is used for comparing two different time periods. For this purpose, the base year’s index is assumed as 100 and accordingly the value of the current year is calculated.

Laspeyre, Paasche and Fisher have suggested different methods for constructing index numbers.

  1. Explain the meaning of Index Number.
  2. To whom the Index Number is useful?
  3. Express your opinion about the given passage.

The base year's index of a selected variable is assumed as ______.


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