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Assume that apples cost Rs.0.50 in 2002 and Rs. 1 in 2007 whereas oranges cost Rs. 1 in 2002 and Rs. 0.50 in 2007. IF 10 apples and 5 oranges were purchased in 2002 and 5 apples and 10 oranges were purchased in 2007, the CPI for 2007 using 2002 as the base year is:
a) 0.75
b) 0.80
c) 1
d) 1.25
This question is from MSE sample paper.
Someone please help me with this.
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