If the current price of a market basket of goods is $850 and the base year price for the same basket is $500,what is the value of the price index?

Name: If the current price of a market basket of goods is $850 and the base year price for the same basket is $500,what is the value of the price index?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The formula for calculating the price index is (current price/base year price) x 100.
Using the given values, (850/500) x 100 = 170.
Therefore, the value of the price index is 170.

If the Current Price of a Market Basket of Goods