Question
Assume the index is composed of the following 4 stocks. Compute the Value Weighted Index (VWI) and Price Weighted Index (PWI). (Hint: Stock B and
Assume the index is composed of the following 4 stocks. Compute the Value Weighted Index (VWI) and Price Weighted Index (PWI).
(Hint: Stock B and Stock C have stock splits and need to be incorporated into your PWI calculation).
| Stock | P0 | Q0 | P1 | Q1 |
| A | 30 | 50 | 28 | 50 |
| B | 42 | 10 | 20 | 20 |
| C | 60 | 15 | 30 | 30 |
| D | 10 | 20 | 18 | 20 |
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Fundamentals of Investments
Authors: Gordon J. Alexander, William F. Sharpe, Jeffery V. Bailey
3rd edition
132926172, 978-0132926171
