An Index Consists of the Following Securities and Has an Index

question 40

Multiple Choice

An index consists of the following securities and has an index divisor of 3.0. What is the price-weighted index return?
$$\begin{array} { c c c c } \text { Stock } & \text { Shares Outstanding } & \text { Begin Erice } & \text { End Price } \\\text { A } & 4,500 & \$ 20 & \$ 25 \\\text { B } & 7,000 & \$ 15 & \$ 12 \\\mathbf { C } & 3,000 & \$ 28 & \$ 35\end{array}$$

• A)11.11%
• B)12.50%
• C)14.29%
• D)15.32%
• E)16.32%

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.