Which of the Following Is the Correct Formula for Calculating

Multiple Choice

Which of the following is the correct formula for calculating the consumer price index?

A) [(CPI in Year 1 − CPI in Year 2) /CPI in Year 2] × 100
B) [(price of basket of goods and services in current year/price of basket in base year) ]× 100
C) [(price of basket of goods and services in current year − price of basket in base year) /price of basket in base year] × 100
D) [(price of basket of goods and services in base year/price of basket in current year) ] × 100