If, rather than having a single stock, you wanted your stock component to represent a representative (i.e., random) sample of all stocks

in the industry you chose, what would your samplng plan be to have achieved this?

a. How many stocks are in your industry? Is this important to know - why or why not?

b. What information would you need to know to determine the needed sample size? Why?

c. What is the sample size needed?

d How would you select the stocks to include?