Question: Use the following information regarding an equal-weighted equity index Security Price at the End of 2009 ($) Price at the End of 2010 ($) Dividends

Use the following information regarding an equal-weighted equity index

Security Price at the End of 2009 ($) Price at the End of 2010 ($) Dividends per Share ($)
A 20 25 0.5
B 50 45 0.2
C 31.25 36 0.4
D 100 135 0.5

Assume that all dividend payments are made at the end of the year.

Note: The dollar value of the index on December 31, 2009 is $10,000 and using a divisor of 10, the index level equals 1,000.

The number of shares of Security C in the index on December 31, 2009 is closest to:

  1. 80
  2. 50
  3. 125

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