PRC-2 · Chapter 9 · Question 23 of 60
When calculating a chained index, how is the link relative for a specific year manually determined?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) (Current Year Price / Previous Year Price) * 100
Explanation
A chained index links data sequentially, calculating the current period's relative value strictly based on the immediate previous year's data.
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