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Choose the correct alternative: Fisher’s Price Index Number is

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Question

Choose the correct alternative:

Fisher’s Price Index Number is

Options

  • `sqrt("P"_(01)("L") xx "P"_(01)("P"))`

  • P01(L) × P01(P)

  • `sqrt("P"_(01)("L") xx "P"_(01)("P")) xx 100`

  • `sqrt("P"_(01)("L") + "P"_(01)("P"))`

MCQ
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Solution

`sqrt("P"_(01)("L") xx "P"_(01)("P"))`

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Construction of Index Numbers - Weighted Aggregate Method
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Chapter 2.5: Index Numbers - Q.1

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Solution: P01(L) = P01(P)

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`(20 + 5x)/square xx 100 = square/14 xx 100`

∴ x = `square`


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