Question

The bureau of labor statistics reported the consumer price index as 211.4 in december 2007, and 231.1 in december 2012. by what percentage did the index increase from the end of 2007 to the end of 2012 (rounded to one decimal place)?
a. 0.093%
b. 9.0%
c. 9.3%
d. 19.7%

Answer 1

The first step to determine the percentage of increase is to compute for the difference of consumer price index in value.

231.11 (consumer price index for 2012) – 211.4 (consumer price index for 2007) = 19.71 (increase)

To compute for the percentage of increase, you need to compare the increase to the consumer price index for 2007.

19.71/211.4 = 9.3% increase