What is the total return of an equal-weighted index over the holding period given the following data set? Stock Beginning Share Price # of shares outstanding Dividends (per share) Ending Share Price A 44 3 560 000 0 47 B 65 6 850 000 6.9 62 C 25 18 100 000 3.1 22
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23) What is the total return of an equal-weighted index over the holding period given the following data set?
|
Stock |
Beginning Share Price |
# of shares outstanding |
Dividends (per share) |
Ending Share Price |
|
A |
44 |
3 560 000 |
0 |
47 |
|
B |
65 |
6 850 000 |
6.9 |
62 |
|
C |
25 |
18 100 000 |
3.1 |
22 |
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- What information do you need to calculate the weighted average common shares outstanding?An index consists of the following securities. What is the value-weighted index return? Value-weighted Stock Shares Outstanding Beginning Share Price Ending Share Price L 4,000 $ 18 $ 26 M 3,000 $ 35 $ 41 Multiple Choice 22.03% 22.85% 25.25% 28.25% 30.00%The following table displays hypothetical stock quotations. Use the information in the table to answer the questions that follow. Listed Stock Quotes Company Ticker High Low Last Price* Net Change** YTD %*** Div. Yield P/E Ratio MarkMin MM 93.06 67.68 84.60 4.56 1.66 0 46 MarlRedBiro MRB 14.00 9.15 10.77 2.01 7.19 6.0 10 TStar TS 341.06 221.69 284.22 2.70 5.02 2.4 26 *Last price for the day **Net change in price from previous day ***Year-to-date percentage change in stock price Of the three stocks listed, a retiree who lives partially off of investment income would be best off holding because of its . You can calculate that MarkMin had per-share earnings for the most recent 12-month period of . If you had purchased 100 shares of TStar stock yesterday at the last price of the day, you would have of if you sold all 100 shares at the last price today.
- q7- Which of the following statements is true? Select one: a. Trailing P/E is based on the current share price and forward P/E is based on next year's forecast share price. b. Trailing P/E is based on last year's share price and forward P/E is based on the current share price. c. Both trailing and forward P/E are based on the current share price. d. Trailing P/E is based on last year's share price and forward P/E is based on next year's forecast share price. Clear my choiceYou are given the following information regarding prices for stocks of the followingfirms: PRICE Stock Number of Shares T T+ 1 ScotBank Ltd. 1,000,000 60 80 Jetvan Ltd 10,000,000 20 35 PriceLife Ltd. 30,000,000 18 25 i. Construct a price-weighted index for these three stocks and compute the percentagechange in the series for the period from T to T +1. ii. Construct a market-value-weighted index for these three stocks and compute thepercentage change in the series for the period from T to T +1. iii. Based on your answer above, which of these indexes BEST illustrate the movementon the stock market.An index consists of the following securities and has an index divisor of 3.0. What is the price-weighted index return? Index Stock Shares Outstanding 1,000 Beginning Share Price $26 Ending Share Price 4,000 $32 $28 $30 3,000 $19 $ 22 DEF 9.33% 10.35% 11.54% 12.33% 13.00%
- 1.You are given the following information regarding prices for a sample of stocks. PRICE STOCK NUMBER OF SHARES T T +1 A 1,000,000 60 80 B 10,000,000 20 35 C 30,000,000 18 25 a.Construct a price-weighted index for these three stocks, and compute the percentage change in the index for the period from T to T + 1. b.Construct a value-weighted index for these three stocks, and compute the percentage change in the index for the period from T to T + 1 c.Briefly discuss the difference in the results for the two indexes.1. 1- Calculate the beta adjusted by the degree of freedom for stock Xx relative to the equity market using the information from the table (performance): Year 1 2 3 4 5 660 7 X -7 -11 21 15 8 9 -2 Market 15 20 17 10 -11. You are given the following information regarding prices for a sample of stocks. PRICE Stock Number of Shares T+1 A 1,000,000 60 80 10,000,000 20 35 30,000,000 18 25 Chapter 4: Security Market Indexes and Index Funds 117 a. Construct a price-weighted index for these three stocks, and compute the percentage change in the index for the period from T to T + 1. b. Construct a value-weighted index for these three stocks, and compute the percentage change in the index for the period from T to T + 1. e. Briefly discuss the difference in the results for the twu indexes. 2. a. Given the data in Problem 1, construct an equal-weighted index by assuming $1,000 is invested in each stock. What is the percentage change in wealth for this portfolio? b. Compute the percentage of price change for each of the stocks in Problem 1. Compute the arithmetic mean of these percentage changes. Discuss how this answer compares to the answer in part (a). c. Compute the geometric mean of the percentage changes…
- Given the following information concerning three stocks, Stock Price Shares Outstanding A $10 1,000,000 B $14 3,000,000 C $21 10,000,000 a. Construct a simple average, a value-weighted average, and a geometric average. b. What are averages if each price rises to $11, $17, and $35, respectively? c. What is the percentage increase in each average?2. Based on the following stock price and shares outstanding information, compute the beginning and ending values for a price-weighted index and a market-value-weighted index. DECEMBER 31, 2011 DECEMBER 31, 2012 Shares Shares Price Outstanding 100,000,000 Price Outstanding Stock K 20 100,000,000 32 Stock M 80 2,000,000 45 4,000,000 Stock R 40 25,000,000 42 25,000,000 "Stock split two-for-one during the year. a. Compute the percentage change in the value of each index during the year. b. Explain the difference in results between the two indexes. c. Compute the percentage change for an unweighted index and discuss why these results differ from those of the other indexes.Assume the following information concerning two stocks that make up an index. What is the price-weighted return for the index? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Kirk, Incorporated Picard Company Return Shares Outstanding 39,000 28,000 2.20 % Price per Share Beginning of Year $72 End 113 of Year $ 77 122