In addition to price$-$weighted and value$-$weighted indexes, an equally weighted index is one in which the index value is computed from

the average rate of return of the stocks comprising the index. Equally weighted indexes are frequently used by financial researchers to

measure portfolio performance.

The following three defense stocks are to be combined into a stock index in January $2019($perhaps a portfolio manager believes these

stocks are an appropriate benchmark for his or her performance$)$:

a$.$ Compute the rate of return on an equally weighted index of the three defense stocks for the year ending December $31,2019.($A

negatlve value should be Indlcated by a minus sign. Do not round Intermedlate calculatlons. Enter your answer as a percent

rounded to $2$ deeimal places.$)$

Index return

b$.$ If the index value is set to $100$ on January $1,2019,$ what will the index value be on January $1,2020?($Do not round Intermedlate

calculations. Round your answer to $2$ decimal places.$)$

Index value

c$.$ What is the rate of return on the index for $2020?($Do not round Intermedlate calculatlons. Enter your answer as a percent

rounded to $2$ decimal places.$)$

Index return