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Home Task 2: Problem 2: Value-Weighted Index A value-weighted index is composed of stocks A, B, C, and D on Day T The numbers of

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Home Task 2: Problem 2: Value-Weighted Index A value-weighted index is composed of stocks A, B, C, and D on Day T The numbers of shares outstanding were 5, 12, 24, and 16 millions correspondently. On Day T3 stock A splits 1:2 . The prices of components are shown in the table below. Stocks x Initiation ore After Split in | #Shares | Price |(xSMillion) Index(xMillon) Cap. Cap" | # Shares (x SMillion) (x Millon) Price Cap | # Shares (x $Million) (x Millon) Cap. Price (x SMillion) Cap. (x SMillion) Price 5 10 12 37 5 108 540 100 500 112 560 560 58 580 39 468 36 432 12 37 444 16 52 832 Calculate values of the value-weighted index for all days shown in the 16 52 832 54 864 16 52 832 56 896 . table

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