CA Foundation P3 · Chapter 18 · Question 8 of 9
A worker's money wage is ₹30,000 per month and the consumer price index (base = 100) is 150. His real wage in base-year prices is:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) ₹20,000
Explanation
Real wage = (money wage / price index) x 100 = (30,000/150) x 100 = ₹20,000. Multiplying by the index instead of dividing gives ₹45,000.
More Index Numbers MCQs
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