4 The Market Consists Of The Following Stocks Their Prices And Number Of Shares Are 1205515

4. The market consists of the following stocks. Their prices andnumber of shares are as follows:

Stock    Price     Number ofShares Outstanding

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A          $10               100,000

B           20                10,000

C           30               200,000

D           40                50,000

a. The price of Stock C doubles to $60, what is the percentageincrease in the market if a S&P 500 type of measure of themarket is used?

b. Repeat question (a) but use a Value Line type of measure ofthe market (i.e., a geometric average) to determine the percentageincrease.

c. Suppose the price of stock B doubled instead of stock C. Howwould the market have fared using the aggregate measures employedin (a) and (b)? Why are your answers different?