The S&P/ASX All Ordinaries Share Price Index Represents

question 94

Multiple Choice

The S&P/ASX All Ordinaries share price index represents:

• A) changes in aggregate share market values of the largest 500 companies.
• B) movements in the Australian share market relative to international markets.
• C) the historical capitalisation of the 100 largest corporations.
• D) changes in share market value, including dividend reinvestment.

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Definitions:

Perfect Substitute

Products or goods that can serve the same purpose perfectly, such that a consumer is indifferent to which product they use.

Nuts

Edible seeds enclosed in a hard shell, often enjoyed as a snack or used in cooking.

Utility Function

A mathematical representation of how consumers rank different bundles of goods based on the satisfaction each bundle provides.

Indifference Curve

A representation of the consumer's preferences, illustrating different combinations of goods that provide the same level of utility or satisfaction.