QUESTION:C
PLEASEHomework Answers
At t=1, the index value = (102+50+26+30)÷4
= 52
Stock split does not affect the index value. We need to calculate the new divisor (d).
(102+50+26+30)÷d = 52
= 4
Therefore the new divisor for your price-weighted index is 4
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QUESTION:C
PLEASE
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