# Index numbers

Registered Posts: 166 Dedicated contributor 🦉
From my U7 practice paper - task is to use trend data calculated in previous task and index numbers given to index figures for the next quarter.

I've been given a list of quarters and their index numbers and then 2 blank columns headed 'unindexed trend' and 'indexed trend'.

Presumably, I fill in 'unindexed trend' with the trend data from the previous task.

Then what?! How do I calculated the indexed trend?

And how do I get the next year Q1 figure when my moving average trends only got me to Q2 of the previous year?!

• Registered Posts: 166 Dedicated contributor 🦉
Can anyone help please? I have my test this week and am struggling with this - much appreciated! :-)
• Registered Posts: 166 Dedicated contributor 🦉
Please can someone help me - my test is tomorrow morning and I still don't understand this..... thanks! :-)
• Registered, Moderator Posts: 2,034 mod
I've quoted you
From my U7 practice paper - task is to use trend data calculated in previous task and index numbers given to index figures for the next quarter.

I've been given a list of quarters and their index numbers and then 2 blank columns headed 'unindexed trend' and 'indexed trend'.

Presumably, I fill in 'unindexed trend' with the trend data from the previous task.

Then what?! How do I calculated the indexed trend?

And how do I get the next year Q1 figure when my moving average trends only got me to Q2 of the previous year?!

I'm sorry, I don't understand your question
Sandy
sandy@sandyhood.com
www.sandyhood.com
• Registered Posts: 166 Dedicated contributor 🦉
Hi Sandy,

The task is asking me to calculate the unindexed trend and the indexed trend. I have been give a list of months and their indexes, then I have to used the trend figures calculated in the previous task to calculate the unindexed and indexed trends.

I don't really understand the question and cannot find any examples in my books.

Also, I am meant to give the indexed trend for Q1 07 but when I calculate the trend figures in the previous tasks using 4 point moving averages, the last centred average I got to was Q2 06 - how on earth do I continue it to get to Q1 07?
• Registered Posts: 218 Dedicated contributor 🦉
Index numbers

Which U7 practice paper are you working from?
• Registered Posts: 166 Dedicated contributor 🦉
I've not got the front of it to check, sorry!

Any ideas on what to do? Really stuck :-(
• Registered, Moderator Posts: 2,034 mod
Using a trend and projecting that trend into the future appears on a few exams.

Often you find that the trend rises by the same amount each quarter, and assume this will continue so you add the quarterly increase.

Sometimes you can't see an obvious figure, so text books recommend finding the average rate of growth and using that.

Hopefully that enables you to extrapolate your unindexed trend into the future.

Once you've done that, take each value and multiply it by the index for that quarter to produce an indexed trend.

Without seeing your question I have had to have a bit of a shot in the dark, but the style of question sounds reasonably common and I hope what I've written helps.
Sandy
sandy@sandyhood.com
www.sandyhood.com
• Registered Posts: 166 Dedicated contributor 🦉
I've been revising all night and with that and the help of you guys, I think I've cracked it! Thanks v much for all your help, much appreciated! :-)