Question

Calculate the Cost of Living Index Number for the following data.

Group	Base Year		Current Year
	Price	Quantity	Price
Food	132	10	170
Clothing	154	12	160
Fuel and Lighting	164	20	180
House Rent	175	18	195
Miscellaneous	128	5	120

Answer 1

Group	Base Year		Current Year	p1q0	p0q0
	p0	q0	p1
Food	132	10	170	1700	1320
Clothing	154	12	160	1920	1848
Fuel and Lighting	164	20	180	3600	3280
House Rent	175	18	195	3510	3150
Miscellaneous	128	5	120	600	640
Total	–	–	–	11330	10238

`sum"p"_1"q"_0` = 11330, `sum"p"_0"q"_0` = 10238

Now, by aggregate expenditure method,

CLI = `(sum"p"_1"q"_0)/(sum"p"_0"q"_0) xx 100`

= `11330/10238 xx 100`

= 110.67