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Price Index

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Price Index

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producer price index

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Final price index = 140

Initial price index = 125

Therefore, difference in price index between period 3 and 4 is : 140 - 125 = 15

Lastly, 15/125 * 100 = 12%

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Consumer Price Index (CPI)

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If the price index is $225 that means that the item or items in question averages about $225 for price. This can measure one item or a group of items. Price index is the average cost on the market for items.

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