2017 2018 2019 Price Cost Price Cost Price Cost Quantity in Basket (Dollars) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars) Notebooks 15 2 30 5 Calculators 1 70 70 100 130 Large coffees 250 500 2 2 Energy drinks 50 2 100 4 6 Textbooks 10 120 1,200 150 180 Total cost 1,900 Price index 100 Suppose the base year for this price index is 2017. In the last row of the table, calculate and enter the value of the CSPI for the remaining years. Between 2017 and 2018, the CSPI increased by % Between 2018 and 2019, the CSPI increased by % Which of the following, if true, would illustrate why price indexes such as the CSPI might overstate inflation in the cost of going to university? Check all that apply. O As the price of textbooks increased, more and more students turned to the used-book market or chose not to buy textbooks at all, instead using the copies on reserve in the library. O The quality and design of calculators improved dramatically from 2017 to 2019. For example, calculators made in 2019 accept memory cards, whereas those made in 2017 do not. O Professors required each student to buy 15 notebooks, regardless of the price. O A new, safe method of memory enhancement became available for purchase.

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