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The Consumer Price Index is calculated through the equation,
CPI = (current period price/base period price) x 100
The base period is 1983. Solving the CPIs for 2000 and 2005
(2000)
CPI = ($28.94/$16.35) x 100 = 177
(2005)
CPI = ($32.54/$16.35) x 100 = 199
The difference between the CPIs of 2005 and 2000 is 199 - 177 = 22.
multiply the top equation by 3, multiply the bottom equation by 4, then subtract the bottom equation from the top equation
multiply the top equation by 3, multiply the bottom equation by -2, then add the equations
