If \(P_{01}(L)=90\) and \(P_{01}(P)=40\), then \(P_{01}(D-B)\) is _____.
Q.4 (A) (iv) If \(P_{01}(L)=90\) and \(P_{01}(P)=40\), then \(P_{01}(D-B)\) is _____.
A. 65
B. 50
C. 25
D. 130
Q.4 (A) (iv) If \(P_{01}(L)=90\) and \(P_{01}(P)=40\), then \(P_{01}(D-B)\) is _____.
A. 65
B. 50
C. 25
D. 130
Best answer
Answer: A. 65
Answer: (a) 65
Dorbish–Bowley's index is the arithmetic mean of Laspeyre's and Paasche's indices: \(P_{01}(D-B)=\frac{P_{01}(L)+P_{01}(P)}{2}=\frac{90+40}{2}=65\).
Log in or create a free account to answer this question.