how do you work out the index on this question ?

topcat

Hi!

Does anyone know how to work out the index on this please? (dont worry not a v*i*r*u*s in link i can not figure out how to embed the image anymore)

http://snag.gy/Zye6s.jpg

I can get anything but the answer of 117

luke1875

Hi Topcat,

The easiest way to work this out is to work out the cost of one KG.

January is £100,000 / 10,000 = £10 per kg
March is £125,000 / 10,700 = £11.68 per kg

So the index will be (11.68 / 10) x 100 = 116.8 they have rounded it up to 117

Hope that makes sense.

Nps

Topcat - Sorry if I confused you with the post I've just deleted - only half read the question or so my answer was a load of rubbish! Can't argue with the above response.

topcat

Hi Luke and NPS

thank you both for your explanations this makes sense now