Question: Bumbunchak Company produces and sells four different types of baby appliances. The prices and quantities in 2020 and 2021 are shown in table below.

Bumbunchak Company produces and sells four different types of baby appliances. The

Bumbunchak Company produces and sells four different types of baby appliances. The prices and quantities in 2020 and 2021 are shown in table below. Types Baby Bullet Steamer Baby Bottle Sterilize & Dryer Baby Formula Milk Maker Baby Food Maker Price per unit (RM) m 180 110 2020 205 Quantity ('000) 15 35 25 5 Price per unit (RM) 100 230 110 2021 230 Quantity ('000) 10 20 45 5 Price index for the year 2021 based on the year 2020 (%) 125 n 100 112.2 a) Calculate the value of m and n. (4 marks) b) Calculate the simple average relative price index in 2021. (3 marks) c) Calculate the Laspeyres price index in 2021. Explain the meaning of the value obtained. (4 marks) d) Calculate the Paasche quantity index in 2021. Explain the meaning of the value obtained.

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