Simple Aggregative Method calculator

SolutionHelp

1. Find index number using Simple Aggregative Method, Simple Average of Price Relative Method

Item	Bread	Eggs	Ghee	Milk	Cheese	Butter
Price $p_0$	25	30	375	36	440	265
Price $p_1$	28	35	380	40	500	300

2. Find index number using Simple Aggregative Method, Simple Average of Price Relative Method

Item	Cotton	Wheat	Rice	Grams
Price $p_0$	909	288	767	659
Price $p_1$	874	305	910	573

Example

1. Find index number using Simple Aggregative Method
Item Price
$p_0$ Price
$p_1$
Bread 25 28
Eggs 30 35
Ghee 375 380
Milk 36 40
Cheese 440 500
Butter 265 300

Solution:

Item	Price $p_0$	Price $p_1$
Bread	25	28
Eggs	30	35
Ghee	375	380
Milk	36	40
Cheese	440	500
Butter	265	300
---	---	---
Total	$sum p_0=1171$	$sum p_1=1283$

1. Simple aggregative method :

$I=(sum p_1)/(sum p_0)xx100$

$=(1283)/(1171)xx100$

$=109.56$

Thus, there is a rise of

$(109.56-100)=9.56%$ in prices