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Consider the three stocks in the following table. Pe represents price at time and represents shares outstanding at time I Stock C splits two-for-one in
Consider the three stocks in the following table. Pe represents price at time and represents shares outstanding at time I Stock C splits two-for-one in the last period B Pe 91 51 102 Qe 100 200 200 P 96 46 112 01 100 200 P2 96 46 56 02 100 200 409 200 a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (toto 1) (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? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Divisor
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