Consider the following three stocks constitute an index. P represents price at time t and Q represents no. of shares outstanding at time t. Q. 1,000,000 B Po 1.25 500 10 Q 1,000,000 200 100 P 1.18 580 9 200 100 a) Compute rate of return of each stock at time I. (3 marks) b) Compute percentage change of the index value at time I given it is (i) value-weighted index and (ii) price-weighted index. (3 marks) c) Describe how stock split affects the process to calculate index value under value-weighted and price-weighted scheme respectively. No numerical examples or explanations is allowed. (4 marks)