Question

The prices of five fuel related items in the years 2012 and 2014 are as follows. Calculate the general index number for five fuel items by taking the year 2012 as the base year and state the overall increase in the prices of fuel items.

Answer 1

The general index number for five fuel items

General index number of price for five fuel items

As compared to the year 2012, the general price index number for five items of fuel is obtained 120.45 in the year 2014.
Hence, the overall increase in the prices of fuel items is

(126.45 – 100=) 26.45%.