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ABC Stock Index is a value-weighted index comprising of four stocks. Calculate the return of ABC Stock Index during 2006 by using the following data.
ABC Stock Index is a value-weighted index comprising of four stocks. Calculate the return of ABC Stock Index during 2006 by using the following data.
| Data as of Jan. 1, 2006 | Data as of Dec. 31, 2006 | ||
Stock | Price | Shares Outstanding | Price | Shares Outstanding |
| $55 | 1 Million | $35 | 3 Million |
Yahoo | $100 | 2 Million | $150 | 2 Million |
Microsoft | $32 | 3 Million | $22 | 3 Million |
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