Question
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
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. P0 Q0 P1 Q1 P2 Q2 A 85 100 90 100 90 100 B 45 200 40 200 40 200 C 90 200 100 200 50 400 Calculate the first-period rates of return on the following indexes of the three stocks: (Do not round intermediate calculations. Round your answers to 2 decimal places.) a. A market valueweighted index Rate of return % b. An equally weighted index Rate of return % rev: 07_13_2018_QC_CS-131204
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