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

Quizplus · Accepted Answer

Price index = (Current price / Base year price) * 100
= (850/500) * 100
= 170
Therefore, the value of the price index is 170.

If the Current Price of a Market Basket of Goods