Question

Calculate the index number for the year $2014$, with $2010$ as the base year by the weighted aggregate method from the following data :

Commodity	Price in rupees $\left(2010\right)$	Price in rupees $\left(2014\right)$	Weight
$A$	$2$	$4$	$8$
$B$	$5$	$6$	$10$
$C$	$4$	$5$	$14$
$D$	$2$	$2$	$19$

Answer 1

Commodity	Price in Year $2010$ ($p_0$)	Price in Year $2014$ ($p_1$)	Weight $w$	$p_{0}w$	$p_{1}w$
$A$	$02$	$04$	$08$	$16$	$32$
$B$	$05$	$06$	$10$	$50$	$60$
$C$	$04$	$05$	$14$	$56$	$70$
$D$	$02$	$02$	$19$	$38$	$38$
Total				$\sum p_{0}w=160$	$\sum p_{1}w=200$

Using weighted aggregate method, the required price index $=\frac{\sum p_{1}w}{\sum p_{0}w}\times 100=\frac{200}{160}\times 100=125$.