Which of the Following Statements About the Dow Jones Industrial

question 62

Multiple Choice

Which of the following statements about the Dow Jones Industrial Average are correct?
I. Higher-priced stocks tend to affect the average more than lower-priced stocks.
II. A one-point change in the DJIA correlates to a $1 change in average share value.
III. Changes in the DJIA are made to reflect company mergers and acquisitions.
IV. The DJIA divisor was determined when the average was created and remains constant.

• A) I and III only
• B) II and IV only
• C) I, III and IV only
• D) I, II, III and IV

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Definitions:

Stratification

The arrangement or classification of something into different groups, levels, or layers, often used to describe societal layers based on wealth, power, or social status.

Contest

A competition or challenge where individuals or groups compete against each other to achieve a particular objective.

Counterpoint

A technique in music wherein two or more voices independently harmonize with each other.

Stratification

The arrangement or classification of something, often society, into different groups or layers based on characteristics like wealth, race, or social status.