Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Stock Market Index
Definition of Stock Market Index
An index is a numerical figure that measures relative change in variables between two type of durations.
Examples
If sales in year 2000 are equivalent to Kshs.25 M and for year 2001 Shs.30 M, the sales index would be follows as like:
Sales index = year 2001 sales/ Year 2000 sales
= (Shs.30 M/ Shs.25 M) x 100
= 120
Year 2001 sales are 120 percent of year 2000 sales; year 2000 is identified Base year.
A stock index hence measures relative changes in values or prices of shares. The NSE has its base year as year 1966. Twenty (20) companies constitute the index.
The stock index is computed with using of Geometric mean (G.M) follows as like:
Today stock index = [(Today's share price G.M)2 / Yesterday's share price G.M.]X 100
Whereas G.M =
Whereas G.M. = P1 x P2 x P3 x P4 ------- Pn = share price of companies such constitute stock index.
N = number of companies
risk structure of interest rates 1. Default risk 2. Liquidity 3. Income tax consideration 4. Expectations theory
Define the term contractual savings depository institutions. Contractual savings institutions: Contractual savings institutions obtain funds at periodic intervals onto a
Revenue Reserves - Retained Earnings These are undistributed earnings. Those reserves are retained for the given reasons like: A. To create up for the fall in profits so a
Elephant Company common stock has a beta of 1.2. The risk-free rate is 6% and the expected market rate of return is 12%. Determine the required rate of return on the security.
challenges your likely to face when apparising a project on the implemtation stage
Broker - Stock Market 1. A dealer on the market who that sells and buys securities on behalf of the public investors. 2. And he is an agent of investors 3. He is t
The director of capital budgeting for a firm has identified two mutually exclusive projects, A and B, with the following expected net cash flows: Expected Net Cash Flows Year
Using the data provided in Appendix 1 prepare an analysis for the attention of the directors of Meridian Ltd. The analysis should highlight the strategic differences between the co
how to make a perdiem claim format to maintain the records of staff
How often does the "on the run" tsy change?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd