4. Value-Weighted Index (LO4, CFA2) An analyst gathered the following data about Stocks J, K, and L,
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4. Value-Weighted Index (LO4, CFA2) An analyst gathered the following data about Stocks J, K, and L, which together form a value-weighted index:
December 31, Year 1 December 31, Year 2 Stock Price Shares Outstanding Price Shares Outstanding J $40 10,000 $50 10,000 K 30 6,000 20 12,000*
L 50 9,000 40 9,000 The ending value-weighted index (base index = 100) is closest to:
a. 92.31
b. 93.64
c. 106.80
d. 108.33
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Related Book For
Fundamentals Of Investments Valuation And Management
ISBN: 9781260013979
9th Edition
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
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