MP Board · Class 11 · Economics · Index NumbersWhich of the following index numbers satisfies the Time Reversal Test?
Step-by-Step Solution
Fisher's ideal index number is the only index that satisfies both the time reversal test and the factor reversal test.
Detailed Options Breakdown
Option : Laspeyres' index
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Index Numbers.
Option 1: Paasche's index
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Index Numbers.
Option 2: Fisher's index (Correct Answer)
Correct choice. Refer to the step-by-step verified solution guidelines above for details.
Option 3: Simple aggregative index
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Index Numbers.
💡 Study Guide: This question tests core syllabus concepts from Index Numbers. For formulas, key summaries, and mock exam reference guides, read the full Index Numbers Revision Notes.