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Consider the three stocks in the following table. P t represents price at time t , and Q t represents shares outstanding at time t

Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t. Stock C
splits two-for-one in the last period.
Required:
a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t=0 to t=1).
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
Rate of return
b. What will be the divisor for the price-weighted index in year 2?
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
c. Calculate the rate of return of the price-weighted index for the second period (t=1 to t=2).
Rate of return
%
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