Which One of the Following Statements Is Correct

Multiple Choice

Which one of the following statements is correct?

A) The S&P 500 Index is based on 500 large companies that trade on U.S. exchanges.
B) Because of mergers and bankruptcies, the S&P 500 Index no longer contains 500 stocks.
C) The S&P 500 Index is carefully constructed to reflect the values of large, medium and small capitalization companies.
D) The S&P 500 is based on the 500 largest U.S. companies as measured by market value.