Financial Performance Index Q

wannabebean

Hi

How in the blue cheese do you do this?

A company has provided the following information:


January February March
Total cost £59,200 £52,500 £74,750
Total quantity purchased 4,000kg 3,500kg 5,000kg
Price Index ? 600 ?

Complete the table by inserting the price index figures for January and March,
rounded to the nearest whole numbers if necessary

Please, I already know y=mx+c.... however it doesn't help

Thanks

wannabebean

Direct Link

http://www.rtanet.com/osborne24/q9.asp

crispy

Hello,

Feb £52,500 /3,500 Kgs = £15 per Kg , Price Index = 600

So....

Jan £ 59,200/4,000 Kgs = £14.80 per Kg, Price Index = 600/£15 * £14.80 = 592
Mar £ 74,750/5,000 Kgs = £14.95 per Kg, Price Index = 600/£15 * £14.95 = 598

wannabebean

Thanks!