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PRICE A SHARES 350 350 250 500 500 500 500 500 250 250 Company Day 1 Day 2 Day 3 Day 4 Day 5 Split

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PRICE A SHARES 350 350 250 500 500 500 500 500 250 250 Company Day 1 Day 2 Day 3 Day 4 Day 5 Split at close of day 2. Split at close of day 3. 175 175 5006 175 500 a. Calculate a Dow Jones Industrial Average for days 1 through 5. b. What effects have the splits had in determining the next day's index? (Hint: think of the relative weighting of each stock.) c. From a copy of The Wall Street Journal, find the divisor that is currently being used in calculating the DJIA. (Normally this value can be found on pages C2 and C3.) 3 . 1. PRICE A SHARES 350 350 250 500 500 500 500 500 250 250 Company Day 1 Day 2 Day 3 Day 4 Day 5 Split at close of day 2. Split at close of day 3. 175 175 5006 175 500 a. Calculate a Dow Jones Industrial Average for days 1 through 5. b. What effects have the splits had in determining the next day's index? (Hint: think of the relative weighting of each stock.) c. From a copy of The Wall Street Journal, find the divisor that is currently being used in calculating the DJIA. (Normally this value can be found on pages C2 and C3.) 3 . 1

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