following table indicates the unit prices (in Rands) and quantities of three goods purchased every month by a bakery for the years 2022 and 2023. GOOD 2022 2023 Unit Price (p0) Quantity (q0)) Unit Price (p1) Quantity (q1) Eggs R2.60 2550 R2.85 2700 Flour R61.00 109 R64.00 103 Sesame seeds R115.00 345 R118.50 395 23 2023 © The Independent Institute of Education (Pty) Ltd 2023 Page 7 of 8 Q.3.1 Using 2022 as the base year, compute the price relatives in 2023 for eggs and sesame seeds. Interpret your answers. (10) Q.3.2 Using 2022 as the base year, compute the Laspeyres price index for all of the goods for 2023. Interpret your answer. (8) Q.3.3
The following table indicates the unit prices (in Rands) and quantities of three goods purchased every month by a bakery for the years 2022 and 2023.
GOOD
2022
2023
Unit Price (p0)
Quantity (q0))
Unit Price (p1)
Quantity (q1)
Eggs
R2.60
2550
R2.85
2700
Flour
R61.00
109
R64.00
103
Sesame seeds
R115.00
345
R118.50
395
23 2023
© The Independent Institute of Education (Pty) Ltd 2023
Page 7 of 8
Q.3.1
Using 2022 as the base year, compute the price relatives in 2023 for eggs and sesame seeds. Interpret your answers.
(10)
Q.3.2
Using 2022 as the base year, compute the Laspeyres price index for all of the goods for 2023. Interpret your answer.
(8)
Q.3.3
Using 2022 as the base year, compute the Paasche price index for all of the goods for 2023. Interpret your answer.
(7)
[TOTAL
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