If the Dow Jones Industrial Average is currently at 10,000 and the price of one stock included in the index increases by $10, the Dow Jones Industrial Average will:

Question

Quizplus · Accepted Answer

The Dow Jones Industrial Average (DJIA) is a price-weighted index, meaning that changes in the prices of the stocks in the index affect the index based on their price, not their market capitalization. A $10 increase in one stock's price will have a small impact on the overall index, specifically increasing it by 0.1%.

If the Dow Jones Industrial Average Is Currently at 10,000