The table below provides information on the price of three sampled stock, A, B, and C. Requirement: (a) using the Dow Jones Industrial Average (DJIA) price-weighted series you are to determine the index value of the stock. (b) If there is a stock split of three -for- one in stock A what will be the new divisor?

Prices of stock Before the split ($) Prices of stock after the split by stock

	Prices of stock Before the split ($)	Prices of stock after the split by stock A ($)
A	60	20
B	50	50
C	40	40

(c) Given a divisor of 3: (i) what will be the index value assuming there is 10% increase in the price of stock A. (ii) what will be the index value assuming there is 10% increase in the price of stock C. iii. What account for the differences in the index value due to the price changes?