Laspeyres price index is 115 and Paasche price index is 110. The Bowley index (arithmetic mean of L and P) is approximately: MCQ with Answer and Explanation

Question
Laspeyres price index is 115 and Paasche price index is 110. The Bowley index (arithmetic mean of L and P) is approximately:
A. 112.0
B. 113.5
C. 112.5
D. 110.0
Answer: Option C
Solution (By JKSSB Mock Tests)
Bowley index = (L+P)/2 = (115+110)/2 = 112.5. (Note: some books call Marshall-Edgeworth-Bowley index, but this is simple arithmetic average).
This question belongs to: Accountancy and Statistics Statistics
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Practice More Statistics Questions

Question #1
Which of the following statements about the schedule method is correct?
A. It has a lower response rate than mailed questionnaire.
B. It is cheaper than the mailed questionnaire method.
C. It is unsuitable for illiterate respondents.
D. The enumerator records the responses, ensuring better quality data.
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Correct Answer: Option D

Explanation:
Schedule method uses trained enumerators; it's costlier but yields better quality and higher response rate, suitable for illiterates.
This question belongs to: Accountancy and Statistics Statistics
Question #2
The harmonic mean of 4 and 12 is:
A. 8
B. 16
C. 6
D. 3
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Correct Answer: Option C

Explanation:
HM = 2 / (1/4 + 1/12) = 2 / (4/12) = 2 / (1/3) = 6.
This question belongs to: Accountancy and Statistics Statistics
Question #3
Demographic dividend refers to:
A. Migration outflow
B. Increase in birth rate
C. Increase in working-age population share
D. Rise in death rate
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Correct Answer: Option C

Explanation:
Demographic dividend is the economic growth potential due to a larger share of working-age population.
This question belongs to: Accountancy and Statistics Statistics
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