Sorry that this is such a long winded question, but I've been puzzling over this for hours now and still can't understand it in the slightest and... well... time is becoming slim! XD

So, I was wondering if anyone could explain to me how to do this question;

Q. An index of prices based on the year 2000 is shown as follows...

Year-----Index

2003--------------111

2004--------------117

2005--------------124

2006--------------132

- What is the percentage increase in prices between 2000 and 2005?
- What is the percentage increase in prices between 2003 and 2006?
- The index number is forecast to increase by 5% of its value each year over the next 2 years. Calculate the index number in 2007 and 2008.

I know it's alot and I'm sorry. I'll be really grateful if anyone can help though. I really do not understand index numbers at all...

p.s. am I right in thinking 2000's index should be 100?