Answer Posted / dm
Definition of 'Sensex'
An abbreviation of the Bombay Exchange Sensitive Index (Sensex) - the benchmark index of the Bombay Stock Exchange (BSE). It is composed of 30 of the largest and most actively-traded stocks on the BSE. Initially compiled in 1986, the Sensex is the oldest stock index in India.
Investopedia explains 'Sensex'
The index is calculated based on a free-float capitalization method when weighting the effect of a company on the index. This is a variation of the market cap method, but instead of using a company's outstanding shares it uses its float, or shares that are readily available for trading. The free-float method, therefore, does not include restricted stocks, such as those held by company insiders that can't be readily sold.
To find the free-float capitalization of a company, first find its market cap (number of outstanding shares x share price) then multiply its free-float factor. The free-float factor is determined by the percentage of floated shares to outstanding. For example, if a company has a float of 10 million shares and outstanding shares of 12 million, the percent of float to outstanding is 83%. A company with an 83% free float falls in the 80-85% free-float factor, or 0.85, which is then multiplied by its market cap (e.g., $120 million (12 million shares x .$10/share) x 0.85 = $102 million free-float capitalization).
Read more: http://www.investopedia.com/terms/s/sensex.asp#ixzz1kAwt9UGh
| Is This Answer Correct ? | 0 Yes | 3 No |
Post New Answer View All Answers
interest paid comes under which head
How & When We Calculate Deffered Tax... Please Give me Some Example.?
what is purchase consideration? How does it come about and how is it treated in the books?
it is better to invest in which securities short term/long term or both? please reason4 the same
How do you plan to achieve these goals
what is futures and options?
what is the frienge benefits tax?what is usefull?
Explain about Fixed capital
Expand------ARN
deffered tax treatment in financial statements
Expand----------SAMC
Expand-------ACNS
Expand---------TDCB
why do u want to join bpo sector
what are the importance accounting entries for AP and AR process in interview..
