Index NumbersMCQMTP May 19 Series IIQuestion 3833 of 197
All Questions

The formula should be independent of the unit in which or for which price and quantities are quoted in

Options

AUnit test
BTime Reversal Test
CFactor Reversal Test
DNone of these
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Correct Answer

Option aUnit test

All Options:

  • AUnit test
  • BTime Reversal Test
  • CFactor Reversal Test
  • DNone of these

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Detailed Solution & Explanation

The **Unit Test** requires that the formula for constructing index numbers should be independent of the physical units in which prices and quantities are quoted. Hence, **Option A** is the correct answer.

About This Chapter: Index Numbers

Paper

Paper 3: Quantitative Aptitude

Weightage

4-6 Marks

Key Topics

Construction of Index Numbers, Time Series

This chapter covers Construction of Index Numbers, Time Series and is part of Paper 3: Quantitative Aptitude in the CA Foundation exam.

View Official ICAI Syllabus

Exam Strategy Tip

This topic carries 4-6 Marks weightage. Focus on understanding core concepts rather than memorizing.

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