Explanation: Index (2024)

FAQs

How do you explain an index score? ›

An index value of 100 indicates that a result exactly matches the baseline average, an index of 200 that the result is twice the average, and an index of 50 that it is half the average. Broadly speaking, an index of less than 90 or more than 110 would be considered different enough from the average to take note of.

Indexing, broadly, refers to the use of some benchmark indicator or measure as a reference or yardstick. In finance and economics, indexing is used as a statistical measure for tracking economic data such as inflation, unemployment, gross domestic product (GDP) growth, productivity, and market returns.

An index number is a method of evaluating variations in a variable or group of variables in regards to geographical location, time, and other features. The base value of the index number is usually 100, which indicates price, date, level of production, and more. There are various kinds of index numbers.

Index scores range from 0 to 100, with 50 being the average. An index score of around 50 indicates that your community aligns closely with most others in that domain—approximately half scored higher, and the other half scored lower. A score over 50 is considered above average.

Index (indices) in Maths is the power or exponent which is raised to a number or a variable. For example, in number 2⁴, 4 is the index of 2. The plural form of index is indices.

Indices enable investors to evaluate the performance of securities, actively managed funds, and investment portfolios relative to the market. In this way, indices act as yardsticks or benchmark measures.

Over-indexing refers to investigating the difference between a specific subset of a dataset and the dataset overall. This can be a valuable tool when performing survey experiments, as it allows you to easily see the differences between a particular segment of responses and the overall average.

Simple indexing is achieved using a plain indexing head or universal dividing head on a milling machine. It employs a worm, crank, index head, and worm wheel to create precise divisions. The indexing process utilises several components, including a worm, crank, index head, and worm wheel.

Index notation is a way of representing numbers (constants) and variables (e.g. x and y ) that have been multiplied by themselves a number of times. We use index notations, or the plural 'indices', to simplify expressions or solve equations involving powers. E.g. 6 is being multiplied by itself 4 times.

What does index value mean? ›

A value index is a measure (ratio) that describes change in a nominal value relative to its value in the base year. The index point figure for each point in time tells what percentage a given value is at that point in time of its respective value at the base point in time.

Lesson Summary

An index is an alphabetical list with page numbers that refer to all the major topics in a book. It is found at the back of the book and can be helpful if the reader is researching information. Like an index finger, it points the reader to certain information.

What is an index? An index is used to track the performance of equity or other assets. A basket of securities makes up the index used to track the performance. Indices can be broad-based or track the performance of specific sectors/stocks etc.

An index shows the development of a number over time. It is not expressed in tons, euro or any similar common unit; it only shows the change of a figure from one point in time to another. For simplicity, the reference value, which may refer to a given year (base year), is usually set to 100.

An index shows the development of a number over time. It is not expressed in tons, euro or any similar common unit; it only shows the change of a figure from one point in time to another. For simplicity, the reference value, which may refer to a given year (base year), is usually set to 100.