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WHAT IS THE DOW JONES INDUSTRIAL AVERAGE? A. A stock market index made up of 100 of the largest publicly-owned companies based in the United States B. A stock market index made up of 50 of the largest publicly-owned companies based in the United States C. A stock market index made up of 30 of the largest publicly-owned companies based in the United States D. A stock market index made up of the top performing companies regardless of their country of origin.WHO CREATED THE DOW JONES INDUSTRIAL AVERAGE? A. Charles Dow and statistician Edward Jones B. Warren Buffet and Bill Gates C. Thomas Edison and Nikola Tesla D. Michael Bloomberg and Steve JobsWHAT IS THE PURPOSE OF THE DOW JONES INDUSTRIAL AVERAGE? A. To track the performance of every company in the stock market B. To calculate the average price of all stocks in the stock market C. To provide a market thermometer and indicate whether the markets as a whole were moving upwards or downwards over a certain day. D. To provide stock recommendations for investors.HOW IS THE DOW JONES INDUSTRIAL AVERAGE WEIGHTED? A. It is a simple average of the prices of all of its components B. It is a weighted average that takes into account the differences in stock prices of all companies it tracks C. It does not consider the stock prices of the companies and measures only the change of the group as a whole D. It weights companies based on their country of originWHAT TYPE OF COMPANIES ARE INCLUDED IN THE DOW JONES INDUSTRIAL AVERAGE? A. Companies that are just starting up and are high risk B. Companies from various industries with varying levels of size and stability C. Companies that are not publicly owned D. Large and stable blue chip stocks that have proven their value over time.

Question

WHAT IS THE DOW JONES INDUSTRIAL AVERAGE? A. A stock market index made up of 100 of the largest publicly-owned companies based in the United States B. A stock market index made up of 50 of the largest publicly-owned companies based in the United States C. A stock market index made up of 30 of the largest publicly-owned companies based in the United States D. A stock market index made up of the top performing companies regardless of their country of origin.WHO CREATED THE DOW JONES INDUSTRIAL AVERAGE? A. Charles Dow and statistician Edward Jones B. Warren Buffet and Bill Gates C. Thomas Edison and Nikola Tesla D. Michael Bloomberg and Steve JobsWHAT IS THE PURPOSE OF THE DOW JONES INDUSTRIAL AVERAGE? A. To track the performance of every company in the stock market B. To calculate the average price of all stocks in the stock market C. To provide a market thermometer and indicate whether the markets as a whole were moving upwards or downwards over a certain day. D. To provide stock recommendations for investors.HOW IS THE DOW JONES INDUSTRIAL AVERAGE WEIGHTED? A. It is a simple average of the prices of all of its components B. It is a weighted average that takes into account the differences in stock prices of all companies it tracks C. It does not consider the stock prices of the companies and measures only the change of the group as a whole D. It weights companies based on their country of originWHAT TYPE OF COMPANIES ARE INCLUDED IN THE DOW JONES INDUSTRIAL AVERAGE? A. Companies that are just starting up and are high risk B. Companies from various industries with varying levels of size and stability C. Companies that are not publicly owned D. Large and stable blue chip stocks that have proven their value over time.

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Solution

The Dow Jones Industrial Average is C. A stock market index made up of 30 of the largest publicly-owned companies based in the United States.

The Dow Jones Industrial Average was created by A. Charles Dow and statistician Edward Jones.

The purpose of the Dow Jones Industrial Average is C. To provide a market thermometer and indicate whether the markets as a whole were moving upwards or downwards over a certain day.

The Dow Jones Industrial Average is weighted by B. It is a weighted average that takes into account the differences in stock prices of all companies it tracks.

The type of companies included in the Dow Jones Industrial Average are D. Large and stable blue chip stocks that have proven their value over time.

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