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Meaning of base year

 

 

 

Base year

 

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Business glossary

 

Meaning of term base year :

 

The year that is used as the basis for the calculation of an index number. The base year will usually be set to a value of 100 for an index. e.g. 2000=100. Changes from this base value are then expressed as percentage changes around the base. e.g. a change in an index from 100 to 120 is a 20% change.

 

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Base year

 

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Meaning of term base year

 

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