The weekly observations on cost of living index in a certain city for the year 2004 - 2005 are given below . Compute the weekly cost of living index.

Cost of living index	Number of students	Cost of living index	Number of students
1400-1500	5	1700-1800	9
1500-1600	10	1800-1900	6
1600-1700	20	1900-2000	2.

Given:

The weekly observations on cost of living index in a certain city for the year 2004 - 2005.

To do:

We have to compute the weekly cost of living index.

Solution:

Let the assumed mean be $A=1650$.

 We know that,

Mean $=A+h \times \frac{\sum{f_iu_i}}{\sum{f_i}}$    

Therefore,  

Mean $=1650+100 \times \frac{7}{52}$

$=1650+\frac{700}{52}$

$=1650+13.46$

$=1663.46$

The weekly cost of living index is $1663.46$.

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Updated on: 10-Oct-2022

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