Question

For the following problems, use this information from Thompson Corporation’s annual reports:

Column1	Revenue	Employees
Year	($million)
2003	28.5	187
2004	34.3	206
2005	48.0	276
2006	63.4	316
2007	72.5	319
2008	82.5	323
2009	53.7	278
2010	48.9	287
2011	46.5	264
2012	46.7	258
2013	46.0	244
2014	47.2	262
2015	55.8	294
2016	62.4	306
2017	68.4	319
2018	72.1	322

These data are included in the file Thompson Data Spring 2019

1. Compute a simple index for the revenue each year of Thompson. Use 2003 as the base period.  
2. Compute a simple index for the revenue each year of Thompson using the period 2003–05 as the base.
3. What can you conclude about the change in revenue over this time period?  
4. Compute a simple index for the number of employees each year for Thompson. Use 2003 as the base period.
5. Compute a simple index for the number of employees each year for Thompson using the period 2003–05 as the base.
6. What can you conclude about the change in the number of employees over the period?

Answer 1