Below is list of companies and their stock prices, and the amount of their outstanding...

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Finance

  1. Below is list of companies and their stock prices, and the amount of their outstanding shares, build

    1. A price weighted average index of these stocks with equal weights (meaning the divisor is 4)

    2. A value weighted average index of these stocks (choose a divisor you like to make reporting the index easy, but make sure the index is weighted by the market values of the companies

    3. If the price of Company T stock increases from $3 to $5, what is the impact on the price and value weighted index?

Company

Stock Price

Shares Outstanding

X

$3

1 mil

Y

$35

100 000

Z

$0.50

400 000

T

$3

2 mil

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