3.3.5 (HL)—Weighted price index Topic Practice
3.3.5 (HL)—Weighted price index Topic Practice
Students practise calculating weighted price indices using real-world CPI data tables and interpreting basket-of-goods costs across years.
How this is tested
- calculate basket cost by multiplying quantities by prices before constructing the weighted index
- compute CPI using the formula × 100, with rounding to two decimal places
- explain why CPI weights reflect household spending patterns in inflation measures