-The information in the table above gives the 2012 reference base period CPI basket and prices used to construct the CPI for a small nation. It also has the 2013 prices. What is the value of the CPI for 2013?
A) 140
B) 133
C) 100
D) 75

Question

-The information in the table above gives the 2012 reference base period CPI basket and prices used to construct the CPI for a small nation. It also has the 2013 prices. What is the value of the CPI for 2013?
A) 140 
B) 133 
C) 100 
D) 75

Quizplus · Accepted Answer

The CPI is calculated by dividing the cost of the basket of goods in the current year by the cost of the same basket in the base year and multiplying by 100. In this case, the cost of the basket in 2012 is 100 and the cost of the basket in 2013 is 140. Therefore, the CPI for 2013 is 140/100 * 100 = 140.

-The Information in the Table Above Gives the 2012 Reference