8/12/2019 2006 Chapter 15 Assignment

1/4

CHAPTER 15 ASSIGNMENT

INDEX NUMBERS

Name ________________________________ Section ________ Score _______

Part I Select the correct answer and write the appropriate letter in the space provided.

______1. The base period isa. always 1982-84.b. usually a year such as 199! or a "roup o# years such as 1982-84.c. always reported as dollars.d. a number such as 14.$%

______2. & "iven period re#ers toa. any other period than the base period.b. the year 19$%.

c. a dollar value such as '2(!.d. the smaller o# two values.

______). & *aspeyres +rice ,nde uses as its wei"htsa. "iven period uantities.b. base period uantities.c. base period prices.d. "iven period prices.

______4. ,n an a""re"ate price indea. the prices o# several commodities are added.b. no consideration is "iven to the units.c. it does not consider the uantities involved.

d. all o# the above.

______(. The +aasche +rice inde uses as its wei"hts thea. "iven period uantities.b. base period uantities.c. base period prices.d. "iven period prices.

______$. The current base period #or the /onsumer +rice ,nde isa. 1982-84.b. 199)-9(.c. 1982.

d. 1984.

______%. The ,nde o# ,ndustrial +roduction is 1)(.4! 01982-84 1. This means thatproductiona. increased ')(.4 in 199$. b. declined )(.4 percent since 1982.c. increased )(.4 percent since 1982-84. d. decreased )(.4 percent in 199$.

______8. & #irm sold '(! o# a particular product in 199( and '12! in 2(. 3sin" 199( asthe base! what is the inde #or 21

Chapter 15 Index Number67

8/12/2019 2006 Chapter 15 Assignment

2/4

a. '%! b. 24 percentc. 14 percent. d. 41.% percent

______9. &n inde has 198 as its base. The inde reported in 199) was 12%.2 and in 2( it was18$.%. The percent increase #rom 199) to 2( isa. 4$.8 percent. b. 2%.2 percent.

c. (9.( percent. d. none o# the above.

______1. 5hich o# the #ollowin" price indees uses currentperiod uantities in its basea. a value inde b. a simple indec. *aspeyres +rice ,nde d. +aasche +rice ,nde

Part II: 6ecord your answer in the space provided. Show essential wor7.

11. The earnin"s per share #or enerallectric #rom the 22 &nnual 6eportare "iven at the ri"ht. :evelop aninde showin" the chan"e in earnin"s#or the "iven years. 3se 1998 as thebase period.

12. +ro#essor ;im

8/12/2019 2006 Chapter 15 Assignment

3/4

a.

consumed by a #amily o# #our #or selected #ood commodities #or 199 and 2$. 3se 199 asthe base period.

a. :etermine the simple inde #or stea7 #or 2$.

b. :etermine the simple a""re"ate price inde #or 2$.

c. :etermine the *aspeyres price inde #or 2$.

d. :etermine the +aasche price inde #or 2$.

e. :etermine a value inde #or 2$.

Chapter 15 Index Number69

b.

c.

e.

d.

8/12/2019 2006 Chapter 15 Assignment

4/4

14. The table reports the net pro#it #or >eban Tool and :ie! ,nc.#or the years 199$ and 2$. &lso reported is the tool and die

inde #or the same years 0198( 1.

a. 5hat was the percent increase in the inde #rom 199$ to 2$

b. /onvert the inde to a 199$ base. 5hat is the new inde #or 2$

c. :etermine the net pro#it #or 2$ in terms o# the 199$ base. /omment onthe chan"e.

Index Number Chapter 15

!ear Net pr(,"t Index

199$ '4(!)8 1)$.)

2$ $(!)( 1(.2

70

a.

b.

c.