Multiple Choice
Which statement is correct for a simple index number?
A) For the base year, the index is set to 0.000.
B) We cannot use index numbers to compare two time series measured in different units.
C) The simple relative index for period t = 5 is calculated as Y5/Y1.
D) Weighted index numbers have few practical applications because of their complexity.
Correct Answer:

Verified
Correct Answer:
Verified
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