CUET · MATHS · PYQ PAPER 2023
Given that \(p_0\) and \(p_1\) represent base and current prices of a commodity, \(q_0\) and \(q_1\) refer to the base and current quantities, then the formula used to calculate price relatives
- A \(\frac{p_1}{p_0} \times 100\)
- B \(\frac{p_1 q_1}{p_0 q_0} \times 100\)
- C \(\frac{q_0}{q_1} \times 100\)
- D \(\sqrt{p_0 p_1}\)
Answer & Solution
Correct Answer
(A) \(\frac{p_1}{p_0} \times 100\)
Step-by-step Solution
Detailed explanation
Price relative is calculated as the ratio of current price to base price, multiplied by 100. So, Price Relative= \(\frac{p_1}{p_0} \times 100\) This directly compares how the price has changed from base to current period. (A) \(\frac{p_1}{p_0} \times 100\)
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