Question

Match List I with List II:

List I		List II
A.	Marshall Edgeworth's Index Number	I.	\(\frac{\sum p_1q_0}{\sum p_0q_0}\times100\)
B.	Laspeyre's Index Number	II.	\(\sqrt{\frac{\sum p_1q_0}{\sum p_0q_0}\times\frac{\sum p_1q_1}{\sum p_0q_1}}\times100\)
C.	Fisher's Ideal Index Number	III.	\(\frac{\sum p_1q_1}{\sum p_0q_1}\times100\)
D.	Paasche's Index Number	IV.	\(\frac{\sum p_1(q_0+q_1)}{\sum p_0(q_0+q_1)}\times100\)

• A. A-I, B-II, C-IV, D-III
• B. A-IV, B-I, C-II, D-III
• C. A-II, B-IV, C-III, D-I
• D. A-III, B-I, C-II, D-IV

Answer 1

The Correct Option is B

The task is to match items from List I with List II, based on the definitions of various index numbers:

List I		List II
A.	Marshall Edgeworth's Index Number	I.	\(\frac{\sum p_1q_0}{\sum p_0q_0}\times100\)
B.	Laspeyre's Index Number	II.	\(\sqrt{\frac{\sum p_1q_0}{\sum p_0q_0}\times\frac{\sum p_1q_1}{\sum p_0q_1}}\times100\)
C.	Fisher's Ideal Index Number	III.	\(\frac{\sum p_1q_1}{\sum p_0q_1}\times100\)
D.	Paasche's Index Number	IV.	\(\frac{\sum p_1(q_0+q_1)}{\sum p_0(q_0+q_1)}\times100\)

Analysis:

A. Marshall Edgeworth's Index Number involves a mix of initial and final year quantities: IV, the formula: \(\frac{\sum p_1(q_0+q_1)}{\sum p_0(q_0+q_1)}\times100\).

B. Laspeyre's Index Number uses base year quantities: I, the formula: \(\frac{\sum p_1q_0}{\sum p_0q_0}\times100\).

C. Fisher's Ideal Index Number is the geometric mean of Laspeyre's and Paasche's indices: II, the formula: \(\sqrt{\frac{\sum p_1q_0}{\sum p_0q_0}\times\frac{\sum p_1q_1}{\sum p_0q_1}}\times100\).

D. Paasche's Index Number uses the current year quantities: III, the formula: \(\frac{\sum p_1q_1}{\sum p_0q_1}\times100\).

Thus, the correct matches are:

• A-IV
• B-I
• C-II
• D-III

Correct Answer: A-IV, B-I, C-II, D-III