Constructing index numbers - weighted aggregates index, Financial Management

Assignment Help:

Weighted Aggregates Index 

In a weighted aggregates index, weights are assigned according to their significance and consequently the weighted index improves the accuracy of the general price level estimate based on the calculated index. Generally, the level of consumption is taken as a measure of its importance in computing a weighted aggregates index. There are various methods of assigning weights to an index. The more important ones are:

  • Laspeyres Method

  • Paasche Method

  • Fixed Weight Aggregates Method

  • Fisher's Ideal Price Method

  • Marshall-Edgeworth Method.


Related Discussions:- Constructing index numbers - weighted aggregates index

Total revenue change, Write an essay explaining that the quantities of good...

Write an essay explaining that the quantities of goods and services that we can produce are limited by both our available resources and by technology. Assume we want to increase

Financial management in marketing department, Q. Financial Management in Ma...

Q. Financial Management in Marketing Department? The marketing department of a firm is concerned with the ultimate activity of the firm Le. the selling of goods and services to

Financial systems, Financial Systems: The overall financial management ...

Financial Systems: The overall financial management framework will include a number of elements such as: Financial systems designed to capture the details of each financ

MM., What are the assumptions of MM(Modigliani Miller) approach?

What are the assumptions of MM(Modigliani Miller) approach?

Discuss the scope and nature of financial management, Q. Describe Financial...

Q. Describe Financial Management. Discuss the scope and nature of financial management. What role could the financial manager play in a modern organization? Describe the scope o

#WALTOR''S MODEL., CAPITALISATION RATE=0.01 EARNINGS PER SHARE(E)=10 ASSUME...

CAPITALISATION RATE=0.01 EARNINGS PER SHARE(E)=10 ASSUME RATE OF RETURNS ON INVESTMENTS (R):15

FINANCIAL RISK MGT, DQ #1: Discuss the challenges of VaR approaches in valu...

DQ #1: Discuss the challenges of VaR approaches in valuing risk. How does portfolio risk assessment differ from a single asset’s risk assessment? How do managers typically load ba

Double declining balance method , Suppose that the business uses the double...

Suppose that the business uses the double declining balance method to depreciate  its equipment (a)  Determine the net book value, depreciation expense, and accumulated deprecia

Non-interest rate indexes, Generally, an interest rate or an interest...

Generally, an interest rate or an interest rate index is used as a reference rate for However, through financial engineering, issuers have been able to construct

Rationale for mergers, Rationale for Mergers Many of the motives behind...

Rationale for Mergers Many of the motives behind mergers of firms are discussed hereunder: Growth Growth is the most general and important motive for mergers. Merging f

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd