Question
Consider the following three stocks that constitute a stock market index. Stock Beginning Price Ending Price # Shares (000s) X 25 27 10,000 Y 100
Consider the following three stocks that constitute a stock market index.
| Stock | Beginning Price | Ending Price | # Shares (000s) |
| X | 25 | 27 | 10,000 |
| Y | 100 | 140 | 1,000 |
| Z | 1500 | 1700 | 200 |
Market-cap-weighted index and price-weighted indexes would be most sensitive to which of these stocks and why?
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Essentials Of Working Capital Management
Authors: James Sagner
1st Edition
047087998X,0470916923
