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Question
Find the Quantity Index Number using the Simple Aggregate Method in the following example.
| Commodity | A | B | C | D | E |
| Base Year Quantities | 360 | 280 | 340 | 160 | 260 |
| Current Year Quantities | 440 | 320 | 470 | 210 | 300 |
Solution
| Commodity | Base Year Quantities q0 | Current Year Quantities q1 |
| A | 360 | 440 |
| B | 280 | 320 |
| C | 340 | 470 |
| D | 160 | 210 |
| E | 260 | 300 |
| Total | 1400 | 1740 |
From the table, ∑ q0 = 1400, ∑ q1 = 1740
Price Index Number (Q01) = `(sum "q"_1)/(sum "q"_0) xx 100`
`= 1740/1400 xx 100`
= 124.29
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| L | 20 | 30 |
| M | 60 | 80 |
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