Please show steps 6. Use the following data to answer the questions below...
90.2K
Verified Solution
Link Copied!
Question
Finance
Please show steps
6. Use the following data to answer the questions below Company Day 1 Day 2 Day 3 Day 4 Price HOV $10 10 10 12 KBH $30 15 20 Shares Outstanding (Million) HOV 250 250 250 250 LEN KBH 250 $20 20 20 25 200 200 200 500 500 500 Assume that Day 1 is used to calculate the beginning index value of 10,000. a. Calculate the Day 2 price-weighted index. Note that the only change in the prices is due to 2:1 split on KBH. b. What is the divisor used to calculate the index for Day 2. c. Calculate the Day-3 and Day-4 price-weighted indexes. d. Calculate percentage change on the price-weighted index from Day 1 to Day 4 e. Calculate the value-weighted indexes for Day 3 and Day 4. f. Calculate percentage change on the value-weighted index from Day 1 to Day 4
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
