Consider the three stocks in the following table. Pt represents price at time t, and Qt...
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Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two for one in the last period. Stock A B с Po 20 P₁ 01 P2 Q2 150 150 150 150 150 140 135 300 130 300 130 300 270 300 275 300 140 600 Required: Calculate the first-period rates of return on the following indexes of the three stocks (t = 0 to t = 1): Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. A market-value-weighted index. b. An equally weighted index. a. Rate of return b. Rate of return % % Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C splits two for one in the last period. Stock A B с Po 20 P₁ 01 P2 Q2 150 150 150 150 150 140 135 300 130 300 130 300 270 300 275 300 140 600 Required: Calculate the first-period rates of return on the following indexes of the three stocks (t = 0 to t = 1): Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. A market-value-weighted index. b. An equally weighted index. a. Rate of return b. Rate of return % %
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a At t 0 total market value 140 145 130 290 260 290 20300 37700 75400 133400 At t1 tot... View the full answer
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