Question

Use the following information for the next 2 questions: Stock Period T Period T+1 A $90.00...

Use the following information for the next 2 questions:

Stock

Period T

Period T+1

A

$90.00

$28.00

B

80.00

84.00

C

130.00

71.00

Given that Stock A split 3-for-1 and stock C split 2-for-1 during Period T.

40) What is the new adjusted divisor right after stock splits?

Question 40 options:

3

1.83

1.75

2.16

What is the new price-weighted index in Period T+1?

Question 41 options:

104.57

61.0

100.66

84.72

Homework Answers

Answer #1

SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Consider the three stocks in the following table. P(t) represents price at time t, and Q(t)...
Consider the three stocks in the following table. P(t) represents price at time t, and Q(t) represents shares outstanding at time t. Stock C splits two-for-one in the last period. a.) What is the new divisor for the price-weighted index that is formed using Stocks A, B, and C if the starting divisor is 3? b.)What is the rate of return for the price-weighted index that is formed using Stocks A, B, and C from time period 1 to time...
Consider the three stocks in the following table. Pt represents price at time t, and Qt...
Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two-for-one in the last period. P0 Q0 P1 Q1 P2 Q2 A 86 100 91 100 91 100 B 46 200 41 200 41 200 C 92 200 102 200 51 400 a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t = 0 to t...
(Pt represents price at time t, and Qt represents shares outstanding at time t. ) Stock...
(Pt represents price at time t, and Qt represents shares outstanding at time t. ) Stock C splits 3 for 1 in year 2018 and Stock D splits 2 for 1 in year 2019 Name P17 Q17 P18 Q18 P19 Q19 W 170 100 175 100 172 100 X 95 200 98 200 97 200 Y 180 200 57 600 60 600 Z 100 200 110 200 55 400 A. What is the new divisor for the price-weighted index in...
Consider the three stocks in the following table. Pt represents price at time t, and Qt...
Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two-for-one in the last period. P0 Q0 P1 Q1 P2 Q2 A 97 100 102 100 102 100 B 57 200 52 200 52 200 C 114 200 124 200 62 400 a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t = 0 to t...
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S) Price/Share Shares Outstanding Stock X Y Z X...
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S) Price/Share Shares Outstanding Stock X Y Z X Y Z 13-Jan $    22.00 $       36.00 $    52.00 1000 2000 1000 14-Jan $    25.00 $       33.00 $    28.00 1000 2000 2000 15-Jan $    30.00 $       29.00 $    25.00 1000 2000 2000 16-Jan $    11.00 $       32.00 $    23.00 3000 2000 2000 *2:1 Split on Stock Z after Close on Jan. 13 **3:1 Split on Stock X after Close on Jan. 15 The base date for index calculations...
Consider the three stocks in the following table. Pt represents price at time t, and Qt...
Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two-for-one in the last period. P0 Q0 P1 Q1 P2 Q2   A 99       100       104       100       104       100         B 59       200       54       200       54       200         C 118       200       128       200       64       400       a. Calculate the rate of...
Consider the three stocks in the following table. Pt represents price at time t, and Qt...
Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two-for-one in the last period. P0 Q0 P1 Q1 P2 Q2 A 93 100 98 100 98 100 B 53 200 48 200 48 200 C 106 200 116 200 58 400 a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t = 0 to t...
onsider the three stocks in the following table. Pt represents price at time t, and Qt...
onsider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two-for-one in the last period. P0 Q0 P1 Q1 P2 Q2 A 87 100 92 100 92 100 B 47 200 42 200 42 200 C 94 200 104 200 52 400 a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t = 0 to t...
Use the following table to answer the next two questions. Stock 1/2/19 Price 1/2/20 Price X...
Use the following table to answer the next two questions. Stock 1/2/19 Price 1/2/20 Price X 50 48 Y* 70 55 Z** 114 69 *4:3 Split after close of 1/2/19 **8:5 Split after close of 1/2/19 Find the percentage change in a price weighted index consisting of these three stocks from 2019-2020. Round intermediate steps and your final answer to four decimals. Find the percentage change of an equally weighted index consisting of these stocks. Round intermediate steps and your...
2 Why do most professionals consider the Wilshire 5000 a better index of the performance of...
2 Why do most professionals consider the Wilshire 5000 a better index of the performance of the broad stock market than the Dow Jones Industrial Average? ( LO 2- 2) 7. What is meant by the LIBOR rate? The Federal funds rate? ( LO 2- 1) 9. Why are corporations more apt to hold preferred stock than are other potential investors? (LO 2-1) 13. A municipal bond carries a coupon rate of 6 ¾ % and is trading at par....