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Yanka [14]
3 years ago
13

A basket of goods costs $85 in year 1. If the same basket costs $90 in year 2, what is the CPI for year 2?

Mathematics
2 answers:
Rus_ich [418]3 years ago
6 0

Answer:

5.88%

Step-by-step explanation: Change= (((90-85))/85)*100

=5.88%

uysha [10]3 years ago
6 0

Answer:

CPI = 105.88

Step-by-step explanation:

Given as

Basket of goods costs for first year = $88

Basket of goods costs for second year = $90

Now , Cost Price Index (CPI) (T)= \frac{cost of market basket (T)}{cost of market basket (b)} times 100

Or , CPI (T)= \frac{90}{85} times 100

∴ CPI (T) = 105.88      Answer

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