Answer :
Final answer:
The price index for 2022 can be calculated by dividing the current average gas price by the reference price in 2021 and multiplying it by 100. The price index for 2022 is approximately 111.6.
Explanation:
The price index for 2022 can be calculated by dividing the current average gas price by the reference price in 2021 and multiplying it by 100. The reference price in 2021 was $2.24, and let's assume the current average gas price in 2022 is $2.50. So, the price index for 2022 would be:
Price Index = (Current Price / Reference Price) * 100
Price Index = ($2.50 / $2.24) * 100
Price Index ≈ 111.6
Therefore, the price index for 2022 is approximately 111.6.
Answer:
Explanation:
To calculate the price index for 2022 using the reference value of $2.24 in 2021, we need to compare the average gas price in 2022 with the price in 2021 and express it as a percentage.
Let's assume the average gas price in Roanoke in 2022 is $x.
The formula for the price index is:
Price Index = (Price in Year 2 / Price in Year 1) * 100
Substituting the values, we get:
Price Index = ($x / $2.24) * 100
To find the value of $x, we rearrange the formula:
$x = (Price Index / 100) * $2.24
Now, we need to determine the value of $x based on the given options.
Let's calculate the price index for each option:
a) Price Index = (90 / 100) * $2.24 = $2.016
b) Price Index = (100 / 100) * $2.24 = $2.24
c) Price Index = (110.7 / 100) * $2.24 = $2.49968
d) Price Index = (120.5 / 100) * $2.24 = $2.688
Among the given options, the price index that is closest to the calculated value is 110.7, which corresponds to option c).
Therefore, the price index for 2022 is approximately 110.7. So, the correct answer is c) 110.7.
