Maths
Measurement of Central tendency
Arithmetic Mean
Fisher's Ideal Index Number is the:
Answer Review
Fisher's Ideal Index Number is the geometric mean of Laspeyres' and Paasche's index numbers.
Its formula is:
$P_F=\sqrt{P_L\times P_P}$
Where:
$P_F$ = Fisher's Ideal Price Index
$P_L$ = Laspeyres' Price Index
$P_P$ = Paasche's Price Index
Therefore:
$\boxed{P_F=\sqrt{P_LP_P}}$
Hence, option (C) is correct.
Its formula is:
$P_F=\sqrt{P_L\times P_P}$
Where:
$P_F$ = Fisher's Ideal Price Index
$P_L$ = Laspeyres' Price Index
$P_P$ = Paasche's Price Index
Therefore:
$\boxed{P_F=\sqrt{P_LP_P}}$
Hence, option (C) is correct.