Question : Which of the following statement is correct? Statement 1: Sensex refers to that index which exhibits the trend in the share market. Statement 2: Stock market index refers to the index showing the rise and fall in the market price of share on the basis of 30 companies of the Bombay stock exchange.
Option 1: Both are true
Option 2: Both are false
Option 3: Statement 1 is true and statement 2 is false.
Option 4: Statement 1 is false and statement 2 is true.
Correct Answer: Both are false
Solution : The index showing the rise and fall in the market price of shares on the basis of 30 companies of the Bombay stock exchange is called sensex. This is the chief index of the Indian stock markets. Stock market index refers to that index which exhibits the trend in the share market it is prepared on the basis of some representative companies in whose share there is a lot of buying and selling.
Hence, option B is correct.
Question : Which concept is highlighted in the given statement? Statement: It refers to that process which exhibits the trend in the share market.
Question : Statement 1: Sensex and Nifty are examples of stock market indices.
Statement 2: Stock market indices measure the performance of individual stocks.
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