Question:
If Paasche's index number is 160 and Laspeyre's index number is 250, then Fisher's index number is:
If Paasche's index number is 160 and Laspeyre's index number is 250, then Fisher's index number is:
Updated On: May 11, 2025
- 150
- 200
- 300
- 80
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The Correct Option is B
Solution and Explanation
To calculate Fisher's index number, we utilize the following formula: Fisher's Index = √(Paasche's Index × Laspeyre's Index).
Given:
Paasche's Index (P) = 160
Laspeyre's Index (L) = 250
We plug the values into the formula:
Fisher's Index = √(160 × 250)
= √40000
= 200
Therefore, Fisher's index number is 200.
Given:
Paasche's Index (P) = 160
Laspeyre's Index (L) = 250
We plug the values into the formula:
Fisher's Index = √(160 × 250)
= √40000
= 200
Therefore, Fisher's index number is 200.
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