The chain base index number is calculated by: MCQ with Answer and Explanation

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The chain base index number is calculated by:

A. Taking average of Laspeyres and Paasche

B. Linking fixed base index numbers

C. Applying Fisher's formula

D. Using link relatives and chaining them

Answer: Option D

Solution (By JKSSB Mock Tests)

Chain indices are built by multiplying link relatives (current period relative to previous period).

This question belongs to: Accountancy and Statistics Statistics

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Practice More Statistics Questions

Question #1

The most populous state of India as per 2011 Census is:

A. Uttar Pradesh

B. Bihar

C. Maharashtra

D. West Bengal

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Correct Answer: Option A

Explanation:
Uttar Pradesh had the largest population in 2011.

This question belongs to: Accountancy and Statistics Statistics

Question #2

Vital statistics are crucial for calculating which of the following indicators?

A. Gross Domestic Product (GDP)

B. Literacy Rate

C. Human Development Index (HDI)

D. Infant Mortality Rate (IMR)

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Correct Answer: Option D

Explanation:
IMR directly uses vital statistics data on live births and infant deaths; other options rely on broader datasets (e.g., GDP on economic surveys, HDI on multiple sources, literacy on census/surveys).

This question belongs to: Accountancy and Statistics Statistics

Question #3

The formula for a simple aggregative price index is:

A. (Σp₁ / Σp₀) × 100

B. (Σp₁q₀ / Σp₀q₀) × 100

C. (Σp₁q₁ / Σp₀q₁) × 100

D. √(L×P) × 100

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Correct Answer: Option A

Explanation:
Simple aggregative index sums prices without weights.

This question belongs to: Accountancy and Statistics Statistics

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