-If 2003 Is the Reference Base Period,what Is the Price

$$\begin{array} { | l | c | c | c | } \hline & \begin{array} { c } \text { CPI basket } \\\text { quantity }\end{array} & 2003 \text { price } & 2011 \text { price } \\\hline \text { DVDs } & 10 \text { discs } & \$ 16 \text { per disc } & \$ 12 \text { per disc } \\\hline \text { Bottled } & 200 \text { bottles } & \begin{array} { c } \$ 1.00 \text { per } \\\text { bottle }\end{array} & \begin{array} { c } \$ 1.25 \text { per } \\\text { bottle }\end{array} \\ \begin{array} { l } \text { water }\end{array} & \text { boter } \\\hline\end{array}$$
-If 2003 is the reference base period,what is the price index for the CPI basket of goods for 2011 in the above table?

A) 97.3
B) 102.8
C) 128.0
D) zero because the price of CDs fell and the price of water increased

Correct Answer:

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