Which of the Following Is the Best Definition of a Stock

Multiple Choice

Which of the following is the best definition of a stock index?

A) A measure of the prices of a group of stocks, such as the Dow Jones Industrial Average or the S&P 500.
B) A mutual fund made up of a group of stocks and sold through a firm such as Vanguard or Fidelity.
C) A category of stocks whose value is indexed to the inflation rate to safeguard the investor against inflation risk.
D) A control the Federal Reserve places on the stock market via margin requirements, whereby the Fed indexes margin requirements to inflation.