Global Stock Index Is a Value-Weighted Index with Just 2

question 24

Essay

Global Stock Index is a value-weighted index with just 2 stocks in the index: ABC stock and XYZ stock.
ABC ended 2015 at a price of $55 and had 1 million shares outstanding. XYZ stock ended 2015 at a price of $32 and had 4 million shares outstanding.
ABC ended 2016 at a price of $29 (after a 2-for-1 split). XYZ stock closed at $35 for 2016.Calculate the new value of the index.

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Definitions:

Scale

A device or tool used for measuring weight or mass of objects or individuals.

Recur

Recur means to occur again or repeat after a period of absence, often used in the context of symptoms or conditions in medical discussions.

Point

A precise location or position in space, often used as a reference or for navigation.

Nonpharmacological Measures

Therapeutic approaches that do not involve medications to relieve symptoms, manage conditions, or improve wellbeing.