What is a market index? How is it used?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter4: Bond Valuation
Section: Chapter Questions
Problem 16MC
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What is a market index? How is it used?

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The economy is affected by the various stocks that are present in the market. Their movement and decisions affect the flow of money which in turn influences the investors on whether to invest in these stocks or not.

 

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