Question

Which Index number satisfies both the time reversal test and the factor reversal test?

A Fisher Correct Answer Incorrect Answer
B Paasche Correct Answer Incorrect Answer
C Laspeyre Correct Answer Incorrect Answer
D Both Fisher and Laspeyre Correct Answer Incorrect Answer
E Both Fisher and Paasche Correct Answer Incorrect Answer

Solution

Only Fisher's index number is the ideal index number which satisfies time reversal and factor reversal test.

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