An Index Consists of the Following Securities and Has an Index

question 105

Multiple Choice

An index consists of the following securities and has an index divisor of 3.0. What is the price-weighted index return?
$\begin{array}{cccc}\text { Index Stock }&\text {Shares outstanding}&\text { Beginning Share}&\text { Ending Share }\\&&\text { Price }&\text { Price }\\\mathrm{D} & 1,000 & \$ 26 & \$ 32 \\\mathrm{E} & 4,000 & \$ 30 & \$ 28 \\\mathrm{~F} & 3,000 & \$ 19 & \$ 22\end{array}$

• A)9.33%
• B)10.35%
• C)11.54%
• D)12.33%
• E)13.00%