Standardized death rate by direct method is computed as: MCQ with Answer and Explanation

Question

Standardized death rate by direct method is computed as:

A. Σ (m_x × P_sx) / Σ P_sx, where m_x are age-specific death rates of study population and P_sx are standard population age distribution

B. Simple average of age-specific rates

C. Crude death rate of standard population

D. Σ (M_x × p_x) where M_x are standard rates

Answer: Option A

Solution (By JKSSB Mock Tests)

Direct standardization applies observed rates to a standard population structure.

This question belongs to: Accountancy and Statistics Statistics

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Question #1

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Standardized Death Rate for Population A is calculated using Population B's age structure as standard. This allows:

A. Direct comparison of crude death rates

B. Assessment of whether A's age-specific mortality is higher/lower than B's

C. Estimation of A's future population size

D. Calculation of A's fertility rates

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Correct Answer: Option B

Explanation:
By applying A's age-specific death rates to B's standard population, SDR isolates differences in mortality risk from differences in age composition, revealing true mortality level comparisons.

This question belongs to: Accountancy and Statistics Statistics

Question #2

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Which of the following index numbers satisfies the Circular Test?

A. Paasche's Index

B. Fisher's Ideal Index

C. Laspeyres' Index

D. Kelly's Fixed Weight Index

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Correct Answer: Option D

Explanation:
Fisher's index fails the Circular Test. Only indexes with constant weights, like Kelly's or simple geometric mean of price relatives, pass it.

This question belongs to: Accountancy and Statistics Statistics