Question

An index number is valuable because: a.) it does not require any calculations to compute percentage...

An index number is valuable because:

a.) it does not require any calculations to compute percentage changes
b.) it provides useful info to the viewer
c.) it provides a meaningful measurement scale to calculate percentage changes
d.) it is more stable than the data it reflects
Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Answer - it provides a meaningful measurement scale to calculate percentage changes.

Reason -

an index number provides a measure of comparison between statistical data of two or more years by taking a base year. The index number provides a overall percentage change of any year with respect to base year.

In economics index number can be used to measure rate of inflation in current year with reference to previous year by taking the change in value of goods and services with respect to base year.

An index number is valuable as it can provide a single percentage of various scattered data and provides a measurement of scale.

If the solution helped, please give it a thumbs up. Thank you.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The Consumer Price Index             The Consumer Price Index represents the average price of goods that...
The Consumer Price Index             The Consumer Price Index represents the average price of goods that households consume. Many thousands of goods are included in such an index. Here consumers are represented as buying only food (pizza) and gas as their basket of goods. Here is a representation of the kind of data Bureau of Economic Analysis collects to construct a consumer price index. In the base year, 2008, both the prices of goods purchased, and the quantity of goods...
A certain index tracks daily how people from a certain country evaluate their​ lives, both now...
A certain index tracks daily how people from a certain country evaluate their​ lives, both now and in five​ years, on a certain striving​ scale, where​ "0" represents the worst possible life and​ "10" represents the best possible life. Respondents are classified as​ "thriving" if they rate their current life a 7 or higher and their future life an 8 or higher. Daily results are based on a​ three-day rolling​ average, based on telephone interviews with 981 adults from that...
The vast majority of people have hand dominance--they are either left-handed or right-handed. In this question...
The vast majority of people have hand dominance--they are either left-handed or right-handed. In this question we will ignore the very small percentage of the population who are ambidextrous (i.e., those who use both hands equally well or equally badly!). A researcher believes that men are more likely to be left-handed than women. To check this she checked the dominant hand of random samples of 200 men and 200 women, and found 24 men and 18 women to be left-handed....
1- Many U.S. firms with a large percentage of their revenues derived in foreign countries prefer...
1- Many U.S. firms with a large percentage of their revenues derived in foreign countries prefer to leave their cash outside the United States because using those funds to pay dividends or purchase treasury stock would Select one: a. promote foreign investment. b. require a big U.S. corporate income tax payment. c. create pressure for decreased exporting. d. decrease foreign exchange. e. inflate stock prices. 2- In projected financial statements, what is used as a plug figure? Select one: a....
1. Which of the following is true of unemployment? A) It is defined as the number...
1. Which of the following is true of unemployment? A) It is defined as the number of people actively looking for work who do not have jobs. B) The result is that the economy operates inside its production possibilities curve. C) There are psychological consequences associated with unemployment. D) All of the above. 2. Which of the following people would be considered unemployed? A) Homer, who lost his job at the power plant and is not looking for work B)...
answer the following questions Q21.When the economy experiences an expansion, it is most likely the case...
answer the following questions Q21.When the economy experiences an expansion, it is most likely the case that------------------------------- GDP is increasing, unemployment is increasing, and inflation is decreasing. GDP is increasing, unemployment is decreasing, and inflation is increasing. GDP is decreasing, unemployment is decreasing, and inflation is increasing. GDP is decreasing, unemployment is decreasing, and inflation is decreasing. Q22. GDP is an important economic measurement because it provides valuable data on unemployment rates measures the combined total of all intermediate and...
Interpreting and Applying Disclosures on Property and Equipment Following are selected disclosures from the Rohm and...
Interpreting and Applying Disclosures on Property and Equipment Following are selected disclosures from the Rohm and Haas Company (a specialty chemical company) 2005 10-K. Land, Building and Equipment, Net (in millions) 2005 2004 Land $ 139 $ 141 Buildings and improvements 1,683 1,744 Machinery and equipment 5,570 5,656 Capitalized interest 329 320 Construction in progress 168 166 Land, Building and Equipment, Gross 7,889 8,027 Less: Accumulated depreciation 5,208 5,098 Total $ 2,681 $ 2,929 The principal lives (in years) used...
It the 1980s, it was generally believed that congenital abnormalities affected about 8 % of a...
It the 1980s, it was generally believed that congenital abnormalities affected about 8 % of a large nation's children. Some people believe that the increase in the number of chemicals in the environment has led to an increase in the incidence of abnormalities. A recent study examined 374 randomly selected children and found that 47 of them showed signs of an abnormality. Is this strong evidence that the risk has increased?(Consider a P-value of around 5 % to represent reasonable...
The following data represent soil water content (percentage of water by volume) for independent random samples...
The following data represent soil water content (percentage of water by volume) for independent random samples of soil taken from two experimental fields growing bell peppers. Soil water content from field I: x1; n1 = 72 15.2 11.3 10.1 10.8 16.6 8.3 9.1 12.3 9.1 14.3 10.7 16.1 10.2 15.2 8.9 9.5 9.6 11.3 14.0 11.3 15.6 11.2 13.8 9.0 8.4 8.2 12.0 13.9 11.6 16.0 9.6 11.4 8.4 8.0 14.1 10.9 13.2 13.8 14.6 10.2 11.5 13.1 14.7 12.5...
Question 1 If you are trying to make yourself as happy as you can be given...
Question 1 If you are trying to make yourself as happy as you can be given the constraints that you face, you are effectively: Select one: a. trying to find the intersection point between two budget constraints. b. trying to find the point on the budget constraint that is on the highest indifference curve. c. trying to find the point where the budget constraint and an indifference curve intersect. d. trying to find the point on an indifference curve that...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT