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Consider the following three stocks: Stock Price Number of shares outstanding Stock A $60 800 Stock B $80 600 Stock C $20 700 Assume a
Consider the following three stocks:
Stock Price Number of shares outstanding
Stock A $60 800
Stock B $80 600
Stock C $20 700
Assume a price-weighted index with three stocks using an initial divisor of 10 is constructed. If Stock C is split 2 for 1, what will be the new divisor?
A) 10
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B) 9.375
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C) 11.25
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D) 13.75
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E) 15 |
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