A Price-Weighted Index Consists of Stocks A,B,and C Which Are

question 25

Multiple Choice

A price-weighted index consists of stocks A,B,and C which are priced at $50,$35,and $15 a share,respectively.The current index divisor is 2.75.What will the new index advisor be if stock A undergoes a 5-for-1 stock split?

• A) 0.40
• B) 0.65
• C) 1.00
• D) 1.65
• E) 1.85

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Definitions:

Moral Universals

Ethical standards and principles that are considered to apply to all humans regardless of culture, race, sex, religion, or nationality.

Ethical Absolutism

The belief in absolute standards against which moral questions can be judged, irrespective of the context or situation.

Cultural Relativism

A concept in anthropology and ethics that posits the belief systems and moral codes of a culture should be understood and judged within the context of that culture's own history and traditions.

Open Mind

The willingness to consider new ideas and perspectives without letting one's own beliefs hinder the process.