A simple index is computed by using the values of one time series,while a(n)___________ index is based on a "market basket" consisting of more than one time series.
A)Weighted
B)Aggregate
C)Cyclical
D)Trend

Question

Quizplus · Accepted Answer

An aggregate index is based on a "market basket" that includes multiple time series, whereas a simple index is based on a single time series. A weighted index involves assigning different weights to each component of the market basket to reflect their relative importance. Cyclical and trend indices are based on analyzing specific patterns or trends within a single time series, rather than a market basket of multiple series.

A Simple Index Is Computed by Using the Values of One