i. When two or more series of index numbers to be compared do not have the same base period, we select a common base period for all series. Then we use the respective base numbers as the denominators and convert each base to the new base.
ii. Canada pension plan payments ad old age security pensions are periodically adjusted based on the
Consumer Price Index.
Iii) The largest component of the Canadian CPI is Food.
A) (i), (ii) and (iii) are all correct statements
B) (i) and (ii) are correct statements, but not (iii).
C) (i) and (iii) are correct statements but not (ii).
D) (ii) and (iii) are correct statements but not (i).
E) All statements are false

Question

i. When two or more series of index numbers to be compared do not have the same base period, we select a common base period for all series. Then we use the respective base numbers as the denominators and convert each base to the new base. 
ii. Canada pension plan payments ad old age security pensions are periodically adjusted based on the
Consumer Price Index.
Iii) The largest component of the Canadian CPI is Food.
A) (i), (ii) and (iii) are all correct statements
B) (i) and (ii) are correct statements, but not (iii).
C) (i) and (iii) are correct statements but not (ii).
D) (ii) and (iii) are correct statements but not (i).
E) All statements are false

Quizplus · Accepted Answer

Statement (i) is correct as it describes the method of comparing index numbers with different base periods. Statement (ii) is correct as Canada adjusts pensions based on the CPI. Statement (iii) is incorrect because the largest component of the Canadian CPI is Shelter, not Food.

I When Two or More Series of Index Numbers to Be