Distinguish between s imple index numbers and weighted index numbers.

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Q. Distinguish between s imple index numbers and weighted index numbers.

Maharashtra MsbshseMaharashtra HSC (MSBSHSE) Board 2026Subjective· 2mImportance★★★★★

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Simple index numbers give equal importance to all items; weighted index numbers give each item a weight based on its relative importance, making them more reliable.

Index numbers measure changes in a variable (such as price) over time. How much each commodity counts in that measure is what separates the two types.

Basis	Simple (Unweighted) Index Number	Weighted Index Number
Weights	No weights assigned; all items treated as equally important	Weights assigned according to the relative importance of each item
Basis of importance	All commodities count equally	Importance based on quantity, value or expenditure
Accuracy	Less accurate; may give a misleading result	More accurate and realistic
Method examples	Simple aggregative method, simple average of price relatives	Weighted aggregative method (Laspeyre's, Paasche's), weighted average of price relatives

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Same / Similar Concept — real previous-year questions on the same or a closely similar concept, not this exact question.

CBSE 2026Set ANNUAL1 mark
$Q. Find the odd word: Types of Index Numbers: Selection Index Number, Price Index number, Value Index Number, Quantity Index Number$
›Reveal solutionSolution
Odd word = Selection Index Number.

Index numbers are classified into these standard types:

Price index number — measures changes in the general price level.

Quantity index number — measures changes in the volume of goods produced or consumed. …
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CBSE 2026Set ANNUAL1 markMCQ
$Q. Statements that are incorrect in relation to index numbers - Index number is a geographical tool. Index numbers measure changes in the air pressure. Index numbers measure relative changes in economic variable. Index numbers are specialized averages.$
(a) c, d
(b) a, b
(c) b, c
(d) a, b, c, d
›Reveal solutionSolution
The incorrect statements about index numbers are (a) and (b), so the answer is a, b.

An index number is a statistical device that measures relative changes in an economic variable (such as prices or output) over time. Judging each statement:

(a) 'Index number is a geographical tool' — incorrect; it is a statistical tool, not a geographical one. …
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CBSE 2025Set ANNUAL1 markMCQ
$Q. The Price Index number is used ______.$
(a) to measure the general changes in the prices of goods.
(b) as a geographical tool.
(c) to measure the air pressure.
(d) in measurement of goods.
›Reveal solutionSolution

The correct answer is to measure the general changes in the prices of goods.

A price index number is a statistical measure that shows the average change in the prices of a group of goods and services between a base year and a current year, expressed as a percentage of the base. It captures the general movement of prices (rise or fall) rather than the price of a single item, and is widely used to study inflation and the cost of living. The other option …

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CBSE 2023Set ANNUAL1 markMCQ
$Q. Find the odd word out: Types of Simple Index Number:$
(a) Laspeyre’s Price Index Number
(b) Price Index Number
(c) Quantity Index Number
(d) Value Index Number
›Reveal solutionSolution
The odd word is Laspeyre's Price Index Number — it is a weighted index number, while price, quantity and value index numbers are the ordinary (simple) types.

Index numbers can be classified by method of construction (simple/unweighted vs weighted) and by content (price, quantity, value):

Price Index Number — measures change in price levels.

Quantity Index Number — measures change in physical volume of goods.

Value Index Number — measures change in total value (price × quantity). …
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CBSE 2022Set ANNUAL1 markMCQ
$Q. Assertion and reasoning question: Assertion (A): The index number considers all factors. Reasoning (R): The index number is based on samples.$
(a) Assertion (A) is true but Reasoning (R) is false.
(b) Assertion (A) is false but Reasoning (R) is true.
(c) Both statements (A) and (R) are true and (R) is the correct explanation of (A).
(d) Both statements (A) and (R) are true and (R) is not the correct explanation of (A).
›Reveal solutionSolution

The correct option is Assertion (A) is false but Reasoning (R) is true.

An index number measures the relative change in a group of related variables (like prices) over time. It is constructed from a sample of representative items, not from every single commodity or factor in the economy — so reasoning (R) is true. Precisely because it rests on samples, an index number does not consider all factors; it gives only an a …

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Q.Distinguish between
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imple index numbers and weighted index numbers.

Concept understanding — Meaning, Features and Types of Index Numbers

Q.Distinguish between s imple index numbers and weighted index numbers.

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Q.Distinguish between
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imple index numbers and weighted index numbers.

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