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?
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a. Simple average: ($10+14+21)/3=$15 ...View Answer
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