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

Consider the three stocks in the tollowing 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).(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
c. Calculate the rate of return of the price-weighted index for the second period (t=1 to t=2).
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