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The wholesale price index (or price relative) of rice in 2018 compared to 2014 is 150. If the cost of rice was Rs. 16 per kg in 2014, then per kg cost of rice in 2018 is :

Solution

✅ Correct Option: 2

Index =P2018P2014×100=150=\frac{P_{2018}}{P_{2014}}\times 100=150.

P2018=150100×16=24P_{2018}=\frac{150}{100}\times 16=24.

Cost in 2018 is Rs 24 per kg.

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