Jsing 2012 as the base period, find the price relative for supplier A, rounding the result to the nearest integ price in 2014 price relative in 2014 = -(100) price in 2012 5.50 |(100) Jse this same process to find the price relatives for suppliers B and C, rounding the results to the nearest nteger. Supplier Price Relative В

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(a) Compute the price relatives for each of the component suppliers separately. Compare the price
increases by the suppliers over the two-year period.
The price relative expresses the unit price of a period as a percentage of the unit price in a base period. This
is found as follows.
price in period t
price relative in period t
-(100)
base period price
If the price relative is greater than 100, then there was an increase in price from the base year. If this value is
less than 100, then there was a decrease in the price from the base year. The difference between the price
relative and 100 is the percentage of the increase or decrease.
The data are given below.
Unit Price ($)
Supplier
Quantity (2012)
2012
2014
A
100
4.95
5.50
В
100
5.60
5.95
C
160
5.50
6.70
Using 2012 as the base period, find the price relative for supplier A, rounding the result to the nearest integer.
price in 2014
(100)
price in 2012
price relative in 2014
%D
5.50
|(100)
Use this same process to find the price relatives for suppliers B and C, rounding the results to the nearest
integer.
Supplier
Price Relative
В
C
Transcribed Image Text:(a) Compute the price relatives for each of the component suppliers separately. Compare the price increases by the suppliers over the two-year period. The price relative expresses the unit price of a period as a percentage of the unit price in a base period. This is found as follows. price in period t price relative in period t -(100) base period price If the price relative is greater than 100, then there was an increase in price from the base year. If this value is less than 100, then there was a decrease in the price from the base year. The difference between the price relative and 100 is the percentage of the increase or decrease. The data are given below. Unit Price ($) Supplier Quantity (2012) 2012 2014 A 100 4.95 5.50 В 100 5.60 5.95 C 160 5.50 6.70 Using 2012 as the base period, find the price relative for supplier A, rounding the result to the nearest integer. price in 2014 (100) price in 2012 price relative in 2014 %D 5.50 |(100) Use this same process to find the price relatives for suppliers B and C, rounding the results to the nearest integer. Supplier Price Relative В C
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