00:01
Hello, in this video i will be explaining the following.
00:03
So we have the basket costs for these three years, and we're going to look for the cpi of the basket in 2014.
00:11
In order to do this, we need to know the formula for cpi, which is cp equals the cost of basket.
00:31
It's allowed by the cost.
00:49
Let's move it over.
00:51
So we have a little space and i can move it down here and move this up here.
01:00
All right, let's continue.
01:16
Class the basket times 100 and our x is going to be the year of the 2014 which is what we're looking for and our x1 is going to be the base year which is 2012.
01:43
So that leaves us with 90 divided by 77 times 100, which is going to equal 116 .8.
02:03
And if you want to round that up, it's 116 .9.
02:09
So now we need to know the inflation rate.
02:13
That we can find by doing, let's change the color...