The S&P 500 uses
A)a simple average
B)a compound average
C)a geometric average
D)a value-weighted average

Name: The S&P 500 uses A)a simple average B)a compound average C)a geometric average D)a value-weighted average
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Question

Quizplus · Accepted Answer

The S&P 500 uses a value-weighted average, meaning the index is weighted based on the market capitalization of each company included in the index. This approach gives more influence to larger companies.

The S&P 500 Uses