Calculate the unweighted price index for 2020 using 2019 as the base year.

Hey Khathutshelo — ready when you are. Here are the solutions for questions 23, 24, and 25. 23. Calculate the unweighted price index for 2020 using 2019 as the base year. Step 1: State the formula for the unweighted price index. The unweighted price index is calculated as: Unweighted Price Index = ( P_n)/( P_0) × 100 where P_n is the price in the current year (2020) and P_0 is the price in the base year (2019). Step 2: Sum the prices for the base year (2019). P_0 = 80 + 220 + 60 + 115 = 475 Step 3: Sum the prices for the current year (2020). P_n = 100 + 260 + 60 + 145 = 565 Step 4: Substitute the sums into the formula and calculate the index. Unweighted Price Index = (565)/(475) × 100 Unweighted Price Index ≈ 1.18947 × 100 Unweighted Price Index ≈ 118.95 The correct option is C. The unweighted price index for 2020 using 2019 as the base year is C. 118.95. 24. For the data in Table 5, calculate the Laspeyres price index for 2021 using 2020 as the base year. Step 1: State the formula for the Laspeyres price index. The Laspeyres price index is calculated as: Laspeyres Price Index = ( (P_n × Q_0))/( (P_0 × Q_0)) × 100 where P_n is the price in the current year (2021), P_0 is the price in the base year (2020), and Q_0 is the quantity in the base year (2020). Step 2: Calculate (P_0 × Q_0) for the base year (2020). • Acid A: 100 × 220 = 22000 • Acid B: 260 × 152 = 39520 • Acid C: 60 × 230 = 13800 • Acid D: 145 × 104 = 15080 (P_0 × Q_0) = 22000 + 39520 + 13800 + 15080 = 90400 Step 3: Calculate (P_n × Q_0) for the current year (2021) using base year quantities (2020). • Acid A: 107 × 220 = 23540 • Acid B: 260 × 152 = 39520 • Acid C: 95 × 230 = 21850 • Acid D: 160 × 104 = 16640 (P_n × Q_0) = 23540 + 39520 + 21850 + 16640 = 101550 Step 4: Substitute the sums into the formula and calculate the index. Laspeyres Price Index = (101550)/(90400) × 100 Laspeyres Price Index ≈ 1.12334 × 100 Laspeyres Price Index ≈ 112.33 The correct option is B. The Laspeyres price index for 2021 using 2020 as the base year is B. 112.33. 25. For the data in Table 5, calculate the Paasche Price Index for 2021 using 2019 as the base. Step 1: State the formula for the Paasche price index. The Paasche price index is calculated as: Paasche Price Index = ( (P_n × Q_n))/( (P_0 × Q_n)) × 100 where P_n is the price in the current year (2021), P_0 is the price in the base year (2019), and Q_n is the quantity in the current year (2021). Step 2: Calculate (P_n × Q_n) for the current year (2021). • Acid A: 107 × 230 = 24610 • Acid B: 260 × 134 = 34840 • Acid C: 95 × 180 = 17100 • Acid D: 160 × 90 = 14400 (P_n × Q_n) = 24610 + 34840 + 17100 + 14400 = 90950 Step 3: Calculate (P_0 × Q_n) using base year prices (2019) and current year quantities (2021). • Acid A: 80 × 230 = 18400 • Acid B: 220 × 134 = 29480 • Acid C: 60 × 180 = 10800 • Acid D: 115 × 90 = 10350 (P_0 × Q_n) = 18400 + 29480 + 10800 + 10350 = 69030 Step 4: Substitute the sums into the formula and calculate the index. Paasche Price Index = (90950)/(69030) × 100 Paasche Price Index ≈ 1.31754 × 100 Paasche Price Index ≈ 131.75 The correct option is A. The Paasche Price Index for 2021 using 2019 as the base is A. 131.75. Send me the next one 📸