You are given the following information regarding prices for a sample of stocks. PRICE PER SHARE Stock Number of Shares Jan December Honda 20 000 170 200 Nissan 40 000 130 155 Toyota 90 000 138 145 i.) Construct a price-weighted index for these three stocks for January and December ii.) Construct a value weighted index for the securities above for January and December iii) Construct an equal-weighted index by assuming $1,000 is invested in each stock. What is the percentage change in wealth for this portfolio?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter2: The Domestic And International Financial Marketplace
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You are given the following information regarding prices for a sample of stocks. PRICE PER SHARE Stock Number of Shares Jan December Honda 20 000 170 200 Nissan 40 000 130 155 Toyota 90 000 138 145 i.) Construct a price-weighted index for these three stocks for January and December ii.) Construct a value weighted index for the securities above for January and December iii) Construct an equal-weighted index by assuming $1,000 is invested in each stock. What is the percentage change in wealth for this portfolio?
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