A large bag of cement cost $0.80 in 20X3. The price indices are as follows.
20X3
91
20X4
95
20X5
103
20X6
106
How much does a bag of cement cost in 20X6?
The correct answer is: $0.93
106 / 91 = 1.16
Therefore the price of a bag of cement has gone up 16%.
Therefore price in 20X6
1.16 ´ $0.80
$0.93
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