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3) Using the data in the chart below calculate the rates of return on a: a. value weighted index b. price weighted index. Assume all

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3) Using the data in the chart below calculate the rates of return on a: a. value weighted index b. price weighted index. Assume all three stocks would be in each index, and calculate the return of the index over the first period (PO to P1). c. What would be the new divisor at time period 0 if stock A had a 3 for 1 stock split d. What would be the holding period return of each stock from PO to P2. Assume Stock B has a $5 dividend, and the other stocks do not (ignore number of shares for this part) Po Qi Pi P2 Q2 A 90 100 95 100 95 100 B 50 200 45 200 45 200 C 100 200 110 200 55 400 3) Using the data in the chart below calculate the rates of return on a: a. value weighted index b. price weighted index. Assume all three stocks would be in each index, and calculate the return of the index over the first period (PO to P1). c. What would be the new divisor at time period 0 if stock A had a 3 for 1 stock split d. What would be the holding period return of each stock from PO to P2. Assume Stock B has a $5 dividend, and the other stocks do not (ignore number of shares for this part) Po Qi Pi P2 Q2 A 90 100 95 100 95 100 B 50 200 45 200 45 200 C 100 200 110 200 55 400

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