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10 cards from this deck
A method comparing values to the previous year's data.
Use: (value this year / value last year) x 100.
Values increased by 20% from the previous year.
Price this year = £230 (115/100 x £200).
Simple uses a fixed base year; chain uses previous year.
Chain base index = 100.7 (100 + 0.7).
Index = 102.2 (18,900/18,500 x 100).
Larger base values lead to smaller percentage changes.
It gives an index of 100, not 0.
The price is unchanged from the previous year.
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