Consumer Price Index (CPI) is most relevant for: MCQ with Answer and Explanation

Question

Share Report Error

Consumer Price Index (CPI) is most relevant for:

A. Measuring producer cost inflation

B. Calculating export competitiveness

C. Setting wholesale trade policies

D. Assessing changes in the cost of living for households

Answer: Option D

Solution (By JKSSB Mock Tests)

CPI measures average price changes paid by consumers for a basket of goods and services, directly indicating inflation's impact on household purchasing power and cost of living.

This question belongs to: Accountancy and Statistics Statistics

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Statistics Questions

Question #1

Two dice are rolled. The probability of getting a doublet is:

A. 1/6

B. 1/36

C. 1/12

D. 1/3

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option A

Explanation:
Doublets are (1,1), (2,2), (3,3), (4,4), (5,5), (6,6). Total 6 outcomes out of 36. Prob = 6/36 = 1/6.

This question belongs to: Accountancy and Statistics Statistics

Question #2

In Bayes' theorem, the initial probabilities before observing evidence are called:

A. Marginal probabilities

B. Posterior probabilities

C. Prior probabilities

D. Likelihoods

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option C

Explanation:
Prior probabilities represent the initial degree of belief.

This question belongs to: Accountancy and Statistics Statistics

Question #3

Which of the following statements is true for the geometric mean?

A. GM is always greater than AM.

B. GM can be calculated for data containing negative values.

C. GM is suitable for averaging ratios and percentages.

D. GM = 0 if all values are positive.

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option C

Explanation:
GM is appropriate for multiplicative data like growth rates. It cannot handle negatives, and GM ≤ AM.

This question belongs to: Accountancy and Statistics Statistics

Explore All Statistics MCQs