"Assume that you construct a price- weighted Index of 15 stocks. The sum of the prices of these stocks is $1,500. The divisor for the index is 15, and the value of this index is 100. Now assume that one of the 15 stocks, with an average price of $100 has a two-for-one stock split, while the value of other stocks remains unchanged"

a. If you make no adjustment to the index, what will be the new value of the index?

b. what does the new divisor have to be to keep the value of the index unchanged at 100?