Total apples sold by ‘P’ = 1080/1.20 = 900 Green apples sold by ‘P’ = (900 – 100)/2 = 400 Red apples sold by ‘P’ = 900 – 400 = 500 Green apples sold by ‘Q’ = 3/2 × 400 = 600 Red apples sold by ‘Q’ = 1080 – 600 = 480 Red apples sold by ‘R’ = 0.80 × 480 = 384 Green apples sold by ‘R’ = 384/1.50 = 256 Total apples sold by ‘R’ = 256 + 384 = 640 Total apples sold by ‘S’ = 680 × 2 – 640 = 720 Green apples sold by ‘S’ = 5/12 × 720 = 300 Red apples sold by ‘S’ = 7/12 × 720 = 420 Required average = (500 + 384)/2 = 442
The connection among inflation expectations and actual inflation is well known.
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