Question No 07 Assume the following five companies are used in computing an index: 01-01-06 31-Dec-07 31-12-08 | Company Shares Outstanding A 6.000 S6 $12 15 B 2,000 5 18 11* 10,000 8 45 D 1.000 20 10 8 E 4,000 15 32 30 a. If the index is price weighted, what will be the value of the index on December 31, 2007? (3 marks) b. Assume that Company B went through a 1:2 (1 share is now converted to shares) split before 2008. Calculate the adjusted divisor after the split. (2 Marks)