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A price weighted index series is composed of the following three stocks: Number of shares outstanding before stock split Market price before split (Sh.) Market

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A price weighted index series is composed of the following three stocks: Number of shares outstanding before stock split Market price before split (Sh.) Market price after split (Sh.) Day 1 Day 3 Stock Y Z 1,000,000 5,000,000 4,000,000 10 20 60 12 19 22 Stock Z completes a three for one stock split at the end of Day 1. Required: The value of the index after the stock split. (6 marks) (Total: 20 marks)

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