6 . Calculating inflation using a simple price index Consider an imaginaryr price index, the Undergraduate Price Index {UPI}, created to represent the annual purchases made by atypical undergradute. The following table contains information on the market basket for the UPI and the price of each good in 2020r 2021, and 2022. The cost of each good in the basket as well as the baskets total cost are given for 2020. Perform these same calcuiations for 2021 and 2022, and enter the results in the following table. 9090 3031 909? 2020 2021 2022 Price Cost Price Cost Price Cost Quantity in Basket (Dollars) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars) Streaming services 1 64 64 104 134 Iced coffees 150 2 300 2 2 Textbooks 10 80 800 85 105 Notebooks 8 2 16 2 4 Energy drinks 40 3 120 4 5 Total cost 1,300 Price index 100 Suppose this price index uses 2020 as the base year. In the last row of the table, calculate and enter the value of the UPI for the remaining years. Between 2020 and 2021, the UPI increased by % . Between 2021 and 2022, the UPI increased by Which of the following, if true, would illustrate why price indexes such as the UPI might overstate inflation in the cost of going to college? Check all that apply.|:I As the price of energy drinks increased relative to the price of coFfee between 2020 and 2022, students decreased their consumption of energy drinks and increased their consumption of coffee. El An app-based scooter company, which made it easier to get around places like college campuses, became available for rental. I] Professors required each student to buy eight notebooks, regardless of the price. |:I The quality of textbooks increased dramatically from 2020 to 2022, with textbook companies bundling new online study aids with their books, but this quality change is hard to measure