Problem 4-01 You are given the following information regarding prices for a sample of stocks. Number of Shares 3,600,000 11,000,000 28,000,000 a. Construct a price-weighted index for these three stocks, and compute the percentage change in the index-for the period from 7 to F+1. Do not round intermediate calculations. Round your answer to two decimal places. % Stock A B PRICE T $76 24 16 T+1 $90 38 26 b. Construct a value-weighted index for these three stocks, and compute the percentage change in the index for the period from Tto T+1. Do not found intermediate calculations. Round your answer to two decimal places.
Problem 4-01 You are given the following information regarding prices for a sample of stocks. Number of Shares 3,600,000 11,000,000 28,000,000 a. Construct a price-weighted index for these three stocks, and compute the percentage change in the index-for the period from 7 to F+1. Do not round intermediate calculations. Round your answer to two decimal places. % Stock A B PRICE T $76 24 16 T+1 $90 38 26 b. Construct a value-weighted index for these three stocks, and compute the percentage change in the index for the period from Tto T+1. Do not found intermediate calculations. Round your answer to two decimal places.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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
Transcribed Image Text:Problem 4-01
You are given the following information regarding prices for a sample of stocks.
%
Number of Shares
3,600,000
T
$76
24
11,000,000
28,000,000
16
a. Construct a price-weighted index for these three stocks, and compute the percentage change in the index for the period from 7 to 7+ 1. Do not round intermediate calculations. Round your answer to two decimal places.
Stock
A
B
%
Grade it Now
PRICE
b. Construct a value-weighted index for these three stocks, and compute the percentage change in the index for the period from 7 to T+1. Do not round intermediate calculations. Round your answer to two decimal places.
Save & Continue
Continue without saving
T + 1
$90
38
26
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