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
given profit margin 7%, total asset turnover is 1.94, Return on equity is 23.7%, what is the debt equity ratio
Cash Management Techniques The basic strategies that must be employed via the business firm in managing its cash are as: i) To pay account payables as behind as possible wi
Mermaid Coffee Corporation (MCC) has 1,000,000 shares of stock currently trading at $42 per share. The company has issued 20,000 bonds, each with market value $928.59 and yield to
Earnings Yield Valuation EY is given via the earnings made with the business expressed like a percentage of the market price of the business that is The Formula For Earning
Foreign Trade Balance If the Government buys or imports much more than it sells or exports there will be a trade deficit such will require financing.The most important source
Present Value of Uneven Periodic Sum - DCF Technique As in investment decisions it is very rare to acquire even periodic returns and in most cases a company will generate a st
Development Banks and Financial Institutions There are some sectors in the economy such may not secure adequate funds from commercial banks for different motives. a) May re
Similarities between Equity Finance and Preference Similarities among Equity Finance and Preference are as follows: a) Both may be permanent whether preference share capita
Hull-White model As an extension of the Vasicek model, Hull-White model (1990) assumed that the short interest rate process follows the mean-reverting stochastic differential e
Government Budget Deficit If the Government spends much more than it gets in from tax revenue, it runs a budget deficit. This deficit should be covered or financed either via
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