Economics(Please respond, thank you)
posted by Hannah
The table below shows the market basket quantities and prices for the base year (year 1)
Base year 1 Price in price
Quantity base year yr 2
Pizza 15 $3 $3.75
t-shirts 4 $10 $9
rent 1 $500 $550
In year 1 the CPI was?
In year 2 the CPI was?
I know that cpi= (expenditures in current yr/ex in base year) X 100
I am having trouble calculating this. So for year 1 would I just multilpy the price by the quantity for year 1??