Question
The following table indicates the unit prices (in Rands) and quantities of three goods held in the national warehouse of a DIY (do it yourself)
The following table indicates the unit prices (in Rands) and quantities of three goods held in the national warehouse of a DIY ("do it yourself") store for the years 2020 and 2021.
| ITEMS | 2020 | 2021 | ||
| Unit Price (P0) | Quantity(Q0) | Unit Price (P1) | Quantity(Q1) | |
| Mineral spirits | R17.70 | 30 | R20.70 | 45 |
| 10mm spanner | R37.00 | 60 | R49.00 | 50 |
| 25mm brush | R42.00 | 30 | R48.00 | 45 |
Q.8.1 Using 2020 as the base year, compute the price relatives in 2021 for mineral spirits and the 10mm spanner. Interpret the answers. (8)
Q.8.2 Again, using 2020 as the base year, compute the Paasche price index for all of the items for 2021. Interpret the answer. (7)
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Measure Theory And Integration
Authors: M M Rao, MM Rao
2nd Edition
1351991485, 9781351991483
