Question
Consider the five stocks in the following table. Pt is stock price and Qt is shares outstanding in day t. Stock C splits two-for-one in
Consider the five stocks in the following table. Pt is stock price and Qt is shares outstanding in day t. Stock C splits two-for-one in day 2 and Stock D has two stock splits: two-for-one in day 1 and four-for-one in day 2. Suppose you purchased one share of each stock at t=0. What is your rate of return (in percentage) for the next two days from t=0 to t=2? Do not annualize the return. (Use two decimal places; do NOT enter percentage, %, sign) P0 Q0 P1 Q1 P2 Q2 A 90 100 95 100 95 100 B 50 200 45 200 45 200 C 100 200 110 200 55 400 D 200 100 120 200 45 800 E 20 100 30 100 33 100
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