
Requirement 1
To Calculate:
The
Introduction:
Stock exchanges are markets where securities can be bought as well as sold. New York Stock Exchange is one amongst the several markets where the investors can sell their shares or they could purchase their shares or stocks.
Stock Market Indexes are indicators of performance of the stock market.
Dow is the best known measure of the stock market performance.
Price weighted method, equally weighted method, market value weighted method are some of the methods used.
Requirement 2
To Calculate:
The rate of return of a equally-weighted index of three stocks for the period t=0 to t=1
Introduction:
Stock exchanges are markets where securities can be bought as well as sold. New York Stock Exchange is one amongst the several markets where the investors can sell their shares or they could purchase their shares or stocks.
Stock Market Indexes are indicators of performance of the stock market.
Dow is the best known measure of the stock market performance.
Price weighted method, equally weighted method, market value weighted method are some of the methods used.

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