QUESTIONS 79 THROUGH 90 RELATE TO EQUITY INVESTMENTS

87. An investor gathers the following information for an index:

Value of the index as of December 31, 2012

1,000

Interest income over the year 2012

23.50

Dividend income over the year 2012

21.50

Total return of the index over the year 2012

-4.50%

The value of the index as of January 1, 2012 is closest to:

A. 1,047.

B. 1,070.

C. 1,094.