Assume that a particular point in time, IBM was the highest priced stock in the DJIA and Alcoa was the lowest. On a particular day, the DJIA opened at 11,739.19. The divisor at that time was .1325064230. The closing price for IBM the previous day, was $167.54 and the closing price for Alcoa was $16.42. Suppose the next day the other 29 stock prices remained unchanged and IBM increased 5.4 percent. What would the new DJIA level be? Now assume only Alcoa increased by 5.4 percent. Find the new DJIA level.
DJIA if IBM increases 5.4 percent =
DJIA if Alcoa increases 5.4 percent =