The following information relates to X, Y, and Z as at 30 June 2021 Stock Share price Number of shares X 10 2,000,000 Y 15 6,000,000 Z 20 10,000,000 During the year the following activities occurred; A two for one stock split on Y Payment of 10% dividend on Z. It can be assumed that the entire dividend paid will be reinvested in shares of Z limited. On 30 June 2022 the stock prices of X, Y and Z were sh 12, sh 10 and sh 20 respectively. Required; a) New index value given that the beginning value index is 100.
The following information relates to X, Y, and Z as at 30 June 2021 Stock Share price Number of shares X 10 2,000,000 Y 15 6,000,000 Z 20 10,000,000 During the year the following activities occurred; A two for one stock split on Y Payment of 10% dividend on Z. It can be assumed that the entire dividend paid will be reinvested in shares of Z limited. On 30 June 2022 the stock prices of X, Y and Z were sh 12, sh 10 and sh 20 respectively. Required; a) New index value given that the beginning value index is 100.
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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![The following information relates to X, Y, and Z as at 30 June 2021 Stock Share price
Number of shares X 10 2,000,000 Y 15 6,000,000 Z 20 10,000,000 During the year
the following activities occurred; A two for one stock split on Y Payment of 10%
dividend on Z. It can be assumed that the entire dividend paid will be reinvested in
shares of Z limited. On 30 June 2022 the stock prices of X, Y and Z were sh 12, sh 10
and sh 20 respectively. Required; a) New index value given that the beginning value
index is 100.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb3800ab1-9583-4d1f-9ecb-ce2654fdd5c9%2F89cf0068-3e86-4e63-ab77-623ae507b78c%2Fbji345r_processed.gif&w=3840&q=75)
Transcribed Image Text:The following information relates to X, Y, and Z as at 30 June 2021 Stock Share price
Number of shares X 10 2,000,000 Y 15 6,000,000 Z 20 10,000,000 During the year
the following activities occurred; A two for one stock split on Y Payment of 10%
dividend on Z. It can be assumed that the entire dividend paid will be reinvested in
shares of Z limited. On 30 June 2022 the stock prices of X, Y and Z were sh 12, sh 10
and sh 20 respectively. Required; a) New index value given that the beginning value
index is 100.
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