In addition to the number of stocks represented, a difference between the TSX 300 and the Dow is that the TSX 300:
A)dates back to the 19th century while the Dow is a recent innovation.
B)is value-weighted while the Dow is an equal-weighted index.
C)includes foreign stocks while the Dow is domestic.
D)index includes dividends in its return while the Dow does not.

Question

Quizplus · Accepted Answer

The TSX 300 is value-weighted, meaning the index reflects the market value of its constituent stocks. The Dow Jones Industrial Average (Dow), on the other hand, is a price-weighted index, where stocks with higher prices have more influence on the index's performance.

In Addition to the Number of Stocks Represented, a Difference