An enquiry into the budgets of the middle class families of a certain city revealed that on an average the percentage expenses on the different items were: Food 45, Rent 15, Clothing 12, Fuel and Light 8, Miscellaneous 20. The group index number for the current year as compared with a fixed base period was respectively 410, 150, 343, 248 and 285. Calculate the cost of living index number for the current year. Mr. X was getting Rs. 240 in the base period and Rs. 430 in the current year. State how much he ought to have received as extra allowance to maintain his former standard of living.

Intermediate Algebra
19th Edition
ISBN:9780998625720
Author:Lynn Marecek
Publisher:Lynn Marecek
Chapter12: Sequences, Series And Binomial Theorem
Section12.3: Geometric Sequences And Series
Problem 12.58TI: What is the total effect on the economy of a government tax rebate of $500 to each household in...
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An enquiry into the budgets of the middle class families of a certain city revealed that on an average the percentage
expenses on the different items were: Food 45, Rent 15, Clothing 12, Fuel and Light 8, Miscellaneous 20. The group
index number for the current year as compared with a fixed base period was respectively 410, 150, 343, 248 and 285.
Calculate the cost of living index number for the current year. Mr. X was getting Rs. 240 in the base period and Rs.
430 in the current year. State how much he ought to have received as extra allowance to maintain his former standard
of living.

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