Question
1) A market value weighted index has three stocks in it, priced at 70.6, 66.4, and 92.3 per share, and each firm has 203, 408
1) A market value weighted index has three stocks in it, priced at 70.6, 66.4, and 92.3 per share, and each firm has 203, 408 and 426 thousand shares outstanding, respectively. The value of the index today is 546. Over the course of a month, the market does its random walk-y thing, and the prices of the three stocks change do 80.4, 52.6, 64.9, respectively. What is the new value of the index?
Enter answer accurate to two decimal places.
2)
A market value weighted index has three stocks in it, priced at 54.4, 93.5, and 54 per share, and each firm has 288, 437 and 237 thousand shares outstanding, respectively. The value of the index today is 513. At this time, the third stock undergoes a 3 for 1 stock split. What is the new value of the index?
Enter answer accurate to two decimal places.
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