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A Given the Following Information Concerning Three Stocks, Construct a Simple

question 36

Essay

a. Given the following information concerning three stocks, construct a simple average, a value-weighted average, and a geometric average.
       Stock       Price     Shares Outstanding
         A          $10        1,000,000
         B          $14        3,000,000
         C          $21       10,000,000

b. What are averages if each price rises to $11, $17, and $35, respectively?

c. What is the percentage increase in each average?


Definitions:

Personal Power

Refers to the influence or authority an individual possesses that stems from within, often based on competence, skill, or personality, rather than formal position.

Referent Power

A form of influence based on the ability to inspire admiration, respect, or affection from others, often stemming from one's charisma or likability.

Coercive Power

A form of power that is based on the ability to deliver punishments or impose negative consequences on other people.

Legitimate Power

A form of authority derived from an individual's position or role within an organization, granting them the ability to influence others.

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