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Which of the following indices or averages is based on the prices of only 65 stocks (30 industrial, 20 transportation, and 15 utility)?

A)Dow Jones Composite Average.
B)Value Line.
C)S&P Composite.
D)Wilshire 5,000.

2 Answers

4 votes

Final answer:

The Dow Jones Composite Average is based on the prices of only 65 stocks (30 industrial, 20 transportation, and 15 utility).

Step-by-step explanation:

The index that is based on the prices of only 65 stocks, which include 30 industrial, 20 transportation, and 15 utility companies, is the Dow Jones Composite Average. This measure is different from the Dow Jones Industrial Average, which tracks only 30 large U.S. industrial companies' stock prices. When analyzing stock market performance, it's important to consider various indexes, such as the Standard & Poor's 500, which follows the prices of the 500 largest U.S. companies, and the Wilshire 5000, which includes the stocks of essentially all U.S. companies that the public can buy and sell.The correct answer is Value Line. Value Line is a stock market index that is based on the prices of 65 stocks, including 30 industrial, 20 transportation, and 15 utility stocks.

It is one of the indices used to measure the performance of the stock market, along with other popular indices like the Dow Jones Industrial Average, the S&P Composite, and the Wilshire 5,000.The correct answer is Value Line. Value Line is a stock market index that is based on the prices of 65 stocks, including 30 industrial, 20 transportation, and 15 utility stocks. It is one of the indices used to measure the performance of the stock market, along with other popular indices like the Dow Jones Industrial Average, the S&P Composite, and the Wilshire 5,000.

User Joelreeves
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2 votes

Final answer:

The Value Line index is based on the prices of 65 stocks from different sectors, including industrials, transportation, and utilities.

Step-by-step explanation:

The correct answer is B) Value Line.

The Value Line index is based on the prices of 65 stocks, including 30 industrial stocks, 20 transportation stocks, and 15 utility stocks. It is a broad-based stock market index that provides a snapshot of the overall performance of these different sectors.

The Dow Jones Composite Average (A) includes the stock prices of 65 stocks across various sectors, but it does not specifically break down the number of stocks from each sector. The S&P Composite (C) and Wilshire 5,000 (D) are broader indices that track the stocks of a larger number of companies, not just 65 stocks.

User Josh Hibschman
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