Index NumbersMCQPYQ Nov. 18Question 3875 of 197
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If Laspeyres's Index Number is 250 and Paasche's Index Number is 160, then Fisher's Index number is

Options

A20,000\displaystyle 20,000
B25/16\displaystyle 25/16
C200\displaystyle 200
D16/25\displaystyle 16/25
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Correct Answer

✅ Option c — 200\displaystyle 200

All Options:

  • A20,000\displaystyle 20,000
  • B25/16\displaystyle 25/16
  • C200\displaystyle 200
  • D16/25\displaystyle 16/25

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Detailed Solution & Explanation

We are given: - Laspeyres' Index (P01L\displaystyle P_{01}^L) = 250\displaystyle 250 - Paasche's Index (P01P\displaystyle P_{01}^P) = 160\displaystyle 160 Fisher's Ideal Index (P01F\displaystyle P_{01}^F) is the geometric mean of Laspeyres' and Paasche's indices: P01F=P01L×P01P=250×160=40000=200P_{01}^F = \sqrt{P_{01}^L \times P_{01}^P} = \sqrt{250 \times 160} = \sqrt{40000} = 200 Hence, **Option C** 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.

Key Concepts to Understand

Index Number

A statistical device for measuring changes in the magnitude of a group of related variables (like prices or production) over time.

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