The monthly per capita expenditure incurred by workers for an industrial centre during 1980 and 2005 on the following items are given below. The weights of these items are 75, 10, 5, 6 and 4 respectively. Prepare a weighted index number for cost of living for 2005 with 1980 as the base.

Items

Price in 1980

Price in 2005

Food

100

200

Clothing

20

25

Fuel and Lighting

15

20

House rent

30

40

Misc.

35

65

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Solution

Items

Price in 1980

P₀

Price in 2005

P₁

Weight

W

RW

Food

100

200

75

15,000

Clothing

20

25

10

1,250

Fuel and Lighting

15

20

5

666.65

House Rent

30

40

6

799.98

Misc.

35

65

4

742.84

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Similar questions

The monthly per capita expenditure incurred by workers for an industrial centre during 1980 and 2005 on the following items are given below. The weights of these items are 75, 10, 5, 6 and 4 respectively. Prepare a weighted index number for cost of living for 2005 with 1980 as the base.

$\begin{matrix} Items & Price in 1980 & Price in 2005 Food & 100 & 200 Clothing & 20 & 25 Fuel and Lighting & 15 & 20 House rent & 30 & 40 Miscellaneous & 35 & 65 \end{matrix}$

Q. Construct Consumer Price Index Number with the help of the following data:

Consumer Items	Price	Weight
Food Fuel Cloth House Rent Miscellaneous	125 120 66.67 120 150	40 10 25 15 10

An enquiry into the budgets of the middle class families in a certain city gave the following information:

Expenses on items	Food 35%	Fuel 10%	Clothing 20%	Rent 15%	Misc. 20%
Price (in Rs) in 2004	1500	250	750	300	400
Price (in Rs) in 1995	1400	200	500	200	250

What is the cost of living index of during the year 2004 as compared with 1995?

Q. Calculate consumer price index number for the following data by aggregate expenditure and family budget Method.

Expenses	Weights	Price (in ₹) Base Year	Price (in ₹) Current year
Food	45	300	350
Rent	20	200	225
Fuel	8	100	110
Clothing	10	150	175
Misc.	17	250	300

Q. Draw a pie-diagram for the following data of expenditure pattern in a family:

Items	Food	Clothing	Rent	Education	Unforeseen events	Midicine
Expenditure (in percent)	40%	20%	10%	10%	15%	5%

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Items	Price in 1980	Price in 2005
Food	100	200
Clothing	20	25
Fuel and Lighting	15	20
House rent	30	40
Misc.	35	65

Items	Price in 1980 P₀	Price in 2005 P₁	Weight W	RW
Food	100	200	75	15,000
Clothing	20	25	10	1,250
Fuel and Lighting	15	20	5	666.65
House Rent	30	40	6	799.98
Misc.	35	65	4	742.84

Items Price in 1980 P0 Price in 2005 P1 Weight W RW Food 100 200 75 15,000 Clothing 20 25 10 1,250 Fuel and Lighting 15 20 5 666.65 House Rent 30 40 6 799.98 Misc. 35 65 4 742.84

Items

Price in 1980

P₀

Price in 2005

P₁

Weight

W

RW

Food

100

200

75

15,000

Clothing

20

25

10

1,250

Fuel and Lighting

15

20

5

666.65

House Rent

30

40

6

799.98

Misc.

35

65

4

742.84