Dec 31. 05 Dec 31. 05 Price No:of shares price No’ shares Stock A $10 5,000 $15 5000 Stock B $40 10000 $30 10000 Stock C $50 12000 $25 12000 Caculate: Index Value HPR a. 100 -36% b. 33.33 -36% c. 100 -30% d. 33.33 -30%
index value at the second period? is this a price or a value weight?
It seems price weighted, I’d say D.
yes Map, its price and it D. could show your working for HPR i kept on getting -36%
Price of the index at time 0: (10+40+50)/3=33.33, at time 1:(15+30+25)/3=23.33 (23.33-33.33)/33.33=-30%