Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Based on the information from Q 31, what would be the rate of return on date 1 for a DJIA type average (from the market

image text in transcribed
image text in transcribed
image text in transcribed
Based on the information from Q 31, what would be the rate of return on date 1 for a DJIA type average (from the market close on date 0 to the market close on date 1, assuming the original divisor were 3)? 1. -1.95% 2. -1.67% 3. -1.25% 4. -0.95% 5. -0.75% The following information applies to the next three questions (31-33) You are given the following data regarding stocks X, Y, and Z. Stock price Number of shares outstanding Y Date Z z X* 0 $90 $40 $50 100 100 100 1 31 39 48 300 100 100 30 2 40 49 300 100 100 * Stock X has a 3 for 1 stock split after market close on date 0. Date 0 is the base date. What would be the value of an S&P type index at the end of date 2, assuming the base value of the S&P index after the market close on date 0 were 10? 1. 9.67 2. 9.75 3. 9.83 4. 9.94 5. 10.00 Question 32 1 pts Based on the information from Q31, what would be the value of the new divisor to calculate a DJIA type average starting from date 1, assuming the original divisor on date 0 were 3.00? 1. 3.00 2. 2.75 3. 2.50 4. 2.25 5. 2.00 Based on the information from Q 31, what would be the rate of return on date 1 for a DJIA type average (from the market close on date 0 to the market close on date 1, assuming the original divisor were 3)? 1. -1.95% 2. -1.67% 3. -1.25% 4. -0.95% 5. -0.75% The following information applies to the next three questions (31-33) You are given the following data regarding stocks X, Y, and Z. Stock price Number of shares outstanding Y Date Z z X* 0 $90 $40 $50 100 100 100 1 31 39 48 300 100 100 30 2 40 49 300 100 100 * Stock X has a 3 for 1 stock split after market close on date 0. Date 0 is the base date. What would be the value of an S&P type index at the end of date 2, assuming the base value of the S&P index after the market close on date 0 were 10? 1. 9.67 2. 9.75 3. 9.83 4. 9.94 5. 10.00 Question 32 1 pts Based on the information from Q31, what would be the value of the new divisor to calculate a DJIA type average starting from date 1, assuming the original divisor on date 0 were 3.00? 1. 3.00 2. 2.75 3. 2.50 4. 2.25 5. 2.00

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management and Cost Accounting

Authors: Colin Drury

8th edition

978-1408041802, 1408041804, 978-1408048566, 1408048566, 978-1408093887

Students also viewed these Finance questions