Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Aqua Index is a price-weighted stock index based on the 5 largest boat manufacturers in the nation. The stock prices for the five companies

The "Aqua Index" is a price-weighted stock index based on the 5 largest boat manufacturers in the nation. The stock prices for the five companies are $10, $20, $80, $50, and $40 per share, respectively. The price of the third company was just split 2-for-1 and the stock price was halved from $80 to $40 per share. What is the new divisor for the price-weighted index? Round to the nearest 0.01.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Business Math

Authors: Cheryl Cleaves, Margie Hobbs, Jeffrey Noble

10th edition

133011208, 978-0321924308, 321924304, 978-0133011203

More Books

Students also viewed these Finance questions