Consider the following information about the price and the price index of a popular book over three years. What was the approximate price of the book in 2011?
A) $10
B) $10.80
C) $8.10
D) $10.69

Question

Consider the following information about the price and the price index of a popular book over three years.  What was the approximate price of the book in 2011?
A) $10 
B) $10.80 
C) $8.10 
D) $10.69

Quizplus · Accepted Answer

In 2010, the price index was 100 and the price of the book was $9. In 2012, the price index was 118 and the price of the book was $12. Therefore, the price index for 2011 would be halfway between 100 and 118, which is approximately 109. The corresponding price for the book would be halfway between $9 and $12, which is approximately $10.

Consider the Following Information About the Price and the Price