The table below shows market data for two stocks on two days.The two stocks are the components of a value weighted index like the S&P 500.Calculate the percentage change in the index over the two days.

A) 10%
B) 20%
C) 30%
D) 40%
E) 50%

Question

The table below shows market data for two stocks on two days.The two stocks are the components of a value weighted index like the S&P 500.Calculate the percentage change in the index over the two days.

A) 10% 
B) 20% 
C) 30% 
D) 40% 
E) 50%

Quizplus · Accepted Answer

Return = 11ea7fdb_fc13_25e8_a768_01fa167581c3_TB2902_11 - 1 TV₁ = Total Value of Index (Day 1) =$1 × 100 + $2 × 150 TV₁ = $400 TV₂ = Total Value of Index (Day 2) =$1.50 × 100 + $2.20 × 150 TV₂ = $480 Return = 11ea7fdb_fc13_25e9_a768_63bfe1723d1c_TB2902_11 Return = 0.20 or 20%

The Table Below Shows Market Data for Two Stocks on Two