Test: Index Numbers


10 Questions MCQ Test Economics Class 11 | Test: Index Numbers


Description
This mock test of Test: Index Numbers for Commerce helps you for every Commerce entrance exam. This contains 10 Multiple Choice Questions for Commerce Test: Index Numbers (mcq) to study with solutions a complete question bank. The solved questions answers in this Test: Index Numbers quiz give you a good mix of easy questions and tough questions. Commerce students definitely take this Test: Index Numbers exercise for a better result in the exam. You can find other Test: Index Numbers extra questions, long questions & short questions for Commerce on EduRev as well by searching above.
QUESTION: 1

The index number that does not have any reference consumer category is

Solution:

The wholesale price index number indicates the change in the general price level.

QUESTION: 2

IIP i.e. industrial index of production includes

Solution:

IIP measures the changes in the level of industrial production comprising many industries.

QUESTION: 3

The number of CPI constructed in India is

Solution:

Consumer price index is also known as cost of living index. In India three types of Index numbers are constructed. They are as follows:

  1. CPI for industrial worker
  2. CPI for agricultural worker
  3. CPI for urban non-manual labourers
QUESTION: 4

If the CPI (2000 = 100), is 234 in January 2012, the equivalent of a rupee in January, 2012 is

Solution:

If the CPI (2000 = 100), is 234 in January 2012, the equivalent of a rupee in January, 2012 is 0.427. It means that 1 rupee or 100 paisa is worth of 42 paisa in 2000.

QUESTION: 5

Which of the following is/are an example/s of weighted price index?
(a) Consumer price index
(b) Wholesale price index
(c) Sensex

Solution:

The following are examples of weighted price index:
(a) Consumer price index
(b) Wholesale price index
(c) Sensex

QUESTION: 6

To calculate purchasing power of money and real wages we use

Solution:

Consumer price index number or cost of living index helps in measuring the changes in the purchasing power of money and real income.

QUESTION: 7

The value of sensex is with reference to the year

Solution:

SENSEX is the short form of Bombay Stock Exchange Sensitive Index with 1978-79 base. It consists of 13 stocks which represent 13 sectors of the economy.

QUESTION: 8

Commodities are broadly classified into three categories namely primary articles, fuel, power, light and lubricants and manufactured products to calculate

Solution:

Wholesale price index measures the changes in the general price level.

QUESTION: 9

The price at which the commodity is sold in huge quantity is called

Solution:

Wholesale price is different to retail price. The index number which measures the general price level in the wholesale price is called Wholesale Price Index (WPI).

QUESTION: 10

Which of the following is correct with regard to the weighted price index?
(a) Weights are determined by the proportion of expenditure made on them in total expenditure during the base period.
(b) Current period weights are preferred over base year weight.

Solution:

Base period weights are preferred over current year weight. It is because calculating the weight every year is inconvenient.

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