Question

In: Finance

1) A price-weighted Index M consists of 3 stocks X, Y and Z. Last year their...

1)

A price-weighted Index M consists of 3 stocks X, Y and Z. Last year their stock prices were $50, 15, and 22 respectively.

What is the new price-weighted index this year given that Stock X split 5-for-1 last year, and their current prices are $14, 17, 21?

A) 32.09

B) 29.14

C)15.88

D)17.33

2)A price-weighted Index ABC consists of 3 stocks A, B and C. Their recent prices are $105, 134, and 400 respectively. What is the new adjusted divisor right after stock C splits 2-for-1?

A)3.11

B)2.06

C)3.00

D)2.55

3)

Given the following information, what is the value-weighted index in 2019?

Stock # Shares Prices in 2018 Prices in 2019
Wells Fargo 500 $25 $27
Disney 800 $104 $116
Alibaba 1,300 $202 $193

A)99.69

B)80.37

C)108.33

D)121.69

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