Index NumbersMCQMTP June 24 Series IIIQuestion 3933 of 197
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If P0Q0=1360\displaystyle \sum P_0Q_0 = 1360, PnQ0=1900\displaystyle \sum P_nQ_0 = 1900, P0Qn=1344\displaystyle \sum P_0Q_n = 1344, PnQn=1880\displaystyle \sum P_nQ_n = 1880, then the Laspeyres's Index number is

Options

A71
B139.70
C175
D180
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Correct Answer

Option b139.70

All Options:

  • A71
  • B139.70
  • C175
  • D180

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Detailed Solution & Explanation

We are given: - P0Q0=1360\displaystyle \sum P_0 Q_0 = 1360 - PnQ0=1900\displaystyle \sum P_n Q_0 = 1900 The Laspeyres price index is: P0nL=PnQ0P0Q0×100=19001360×100139.71%P_{0n}^L = \frac{\sum P_n Q_0}{\sum P_0 Q_0} \times 100 = \frac{1900}{1360} \times 100 \approx 139.71\% This matches 139.70%\displaystyle 139.70\%. Hence, **Option B** 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

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