Time reversal test in index numbers implies that if the base and current periods are interchanged, the resulting index should be the ______ of the original. MCQ with Answer and Explanation

Time reversal test in index numbers implies that if the base and current periods are interchanged, the resulting index should be the ______ of the original.
A. Reciprocal
B. Half
C. Square
D. Double
Answer: Option A
Solution (By JKExamLibrary)
P₀₁ × P₁₀ = 1, i.e., they are reciprocals.

This question belongs to: Accountancy and Statistics Statistics

Discuss this Question (0)

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

Practice More Statistics Questions

Question #1 Report Error
A frequency distribution is best described as:
A. A measure of the central value of a dataset
B. A method for calculating the range of data
C. A graphical representation of data using bars
D. A tabular arrangement showing the number of observations in each class interval

Correct Answer: Option D


Explanation:
A frequency distribution organizes data into classes or intervals and displays the count (frequency) of observations falling within each class, summarizing the data's pattern.

This question belongs to: Accountancy and Statistics Statistics
Question #2 Report Error
If Laspeyres' index is 121 and Paasche's index is 100, Fisher's index is:
A. 110
B. 110.5
C. 121
D. 100

Correct Answer: Option A


Explanation:
Fisher's = square root of (Laspeyres * Paasche) = sqrt(121 * 100) = sqrt(12100) = 110.

This question belongs to: Accountancy and Statistics Statistics
Question #3 Report Error
Crude Death Rate (CDR) is expressed as deaths per:
A. 10,000 live births
B. 1,000 mid-year population
C. 100 population
D. 1,000 women aged 15-49

Correct Answer: Option B


Explanation:
CDR = (Number of deaths in a year / Mid-year population) × 1,000. It is a basic mortality indicator, though sensitive to population age structure.

This question belongs to: Accountancy and Statistics Statistics