The Consumer Price Index (CPI) is used to measure: MCQ with Answer and Explanation

The Consumer Price Index (CPI) is used to measure:

A. Change in cost of living for households.

B. Industrial production.

C. Foreign exchange reserves.

D. Inflation at wholesale level.

Answer: Option A

CPI measures retail price changes affecting households' cost of living.

This question belongs to: Accountancy and Statistics Statistics

No comments yet. Be the first to start the discussion!

Question #1 Report Error

In a frequency distribution with unequal class intervals, the heights of rectangles in a histogram are proportional to:

A. Frequency

B. Frequency density

C. Relative frequency

D. Cumulative frequency

Correct Answer: Option B

Explanation:
When class widths differ, area represents frequency, so height = frequency / width.

This question belongs to: Accountancy and Statistics Statistics

Question #2 Report Error

If P(A|B) = 0.4 and P(B) = 0.5, P(A∩B) is:

A. 0.4

B. 0.8

C. 0.2

D. 0.9

Correct Answer: Option C

Explanation:
P(A∩B) = P(A|B) P(B) = 0.4 × 0.5 = 0.2.

This question belongs to: Accountancy and Statistics Statistics

Question #3 Report Error

The curve obtained by joining the midpoints of histogram bars is:

A. Bar chart

B. Pie chart

C. Frequency polygon

D. Ogive

Correct Answer: Option C

Explanation:
Frequency polygon connects class midpoints with lines.

This question belongs to: Accountancy and Statistics Statistics