Exhibit 19-5

Multiple Choice

Exhibit 19-5.Firms A,B,and C operate in the market for computers.Each firm's product is popular in the market and distinct from what the other firms offer.The following table shows the prices of laptops from 2005 through 2007. Refer to Exhibit 19-5.If 2006 is used as the base year,which of the following statements is true?

A) The prices in 2007 were 5.02% lower than the prices in 2005.
B) The price index for 2005 will be 100,as per the unweighted price index.
C) The unweighted price index for 2007 suggests that laptop prices were 8.17% lower than the prices in 2006,as per the unweighted price index.
D) The laptop prices in 2005 were 3.48% higher than the prices in 2006,as per the unweighted price index.