Commodities Quantity Consumed The following table gives average annual prices of eight commodities for the year...

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Commodities Quantity Consumed The following table gives average annual prices of eight commodities for the year 1956 and 1964. Compute consumer price index number for 1962 to 1964 based on 1956 by using family budget method and aggregative expenditure and interpret the results. (Hint: 1 maund = 40 kg) (12 Marks) Wheat Rice Sugar Ghee Milk Vegetables 20 kg 8 kg 2 kg 1 kg 25 kg 16 kg Unit of price Rs. Per maund Rs. Per maund Rs. Per maund Rs. Per maund Rs. Per kg Rs. Per kg 1956 12 40 40 110 0.50 0.25 Prices (Rs.) 1962 15 45 50 120 0.75 0.50 1963 18 24 30 75 0.70 0.45 1964 35 65 22 84 0.64 0.65 Mutton Fuel 5 kg 4 maund Rs. Per kg Rs. Per maund 3.00 2.50 4.00 3.00 3.75 2.8 2.75 3,40 B) The machinery in a factory is purchased for Rs. 50000 and the rate of depreciation is 6%. After how many years its value will be Rs. 20000? (08 Marks) Commodities Quantity Consumed The following table gives average annual prices of eight commodities for the year 1956 and 1964. Compute consumer price index number for 1962 to 1964 based on 1956 by using family budget method and aggregative expenditure and interpret the results. (Hint: 1 maund = 40 kg) (12 Marks) Wheat Rice Sugar Ghee Milk Vegetables 20 kg 8 kg 2 kg 1 kg 25 kg 16 kg Unit of price Rs. Per maund Rs. Per maund Rs. Per maund Rs. Per maund Rs. Per kg Rs. Per kg 1956 12 40 40 110 0.50 0.25 Prices (Rs.) 1962 15 45 50 120 0.75 0.50 1963 18 24 30 75 0.70 0.45 1964 35 65 22 84 0.64 0.65 Mutton Fuel 5 kg 4 maund Rs. Per kg Rs. Per maund 3.00 2.50 4.00 3.00 3.75 2.8 2.75 3,40 B) The machinery in a factory is purchased for Rs. 50000 and the rate of depreciation is 6%. After how many years its value will be Rs. 20000? (08 Marks)

Answer rating: 100% (QA)

Price in base Price in current year C consumed A year B 1962 03 0375 045 0875 8 1 1125 06 1625 1125 ... View the full answer