Question

Construct index number of industrial production in the year 2015 from the following data on the basis of 2007’s production:

$\begin{array}{ccccc}\text{Industry}& \text{Unit}& 2007& 2015& \text{Weight}\\ \text{Electrical}& \text{Mill. Nos.}& 15& 22& 32\\ \text{Metallurgical}& \text{Th. Tonnes}& 25& 36& 8\\ \text{Mechanical}& \text{Th. Tonnes}& 60& 100& 12\\ \text{Mining}& \text{Th. Tonnes}& 80& 80& 23\\ \text{Textiles}& \text{Mill. Mtrs.}& 45& 64& 5\\ \text{Miscellaneous}& \text{Th. Tonnes}& 92& 130& 20\end{array}$

• A. 136.82
• B. 132.67
• C. 143.96
• D. 128.54

Answer 1

The correct option is A

136.82

$P_{01}=\frac{\sum WR}{\sum W}=\frac{\sum W\times \left(\frac{Q_1}{Q_0}\right)}{\sum W}=\frac{32\times \left(\frac{22}{15}\right)\times 100+8\times \left(\frac{36}{25}\right)\times 100+12\times \left(\frac{100}{60}\right)\times 100+23\times \left(\frac{80}{80}\right)\times 100+5\times \left(\frac{64}{45}\right)\times 100+20\times \left(\frac{130}{92}\right)\times 100}{100}=46.93+11.52+20+23+7.11+28.26=136.82$