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The stocks of two companies that are included in an index both trade at the same price, while one has double the amount of shares
The stocks of two companies that are included in an index both trade at the same price, while one has double the amount of shares issued to the public. Under which type of index will one stock have more influence over the value of the index than the other?
- Price-weighted
- Equal-weighted
- Capitalisation-weighted
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