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Table 1: Data to Construct Stock Price Indices Initial Final#of Shares Price Outstanding $30 Stock Initial Final Price Market Value Market Value $25 300 AA

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Table 1: Data to Construct Stock Price Indices Initial Final#of Shares Price Outstanding $30 Stock Initial Final Price Market Value Market Value $25 300 AA BB $60 $50 20 CC $40 $35 100 Question 1 (15 points) Please refer to the data in Table 1 for this question (1) Suppose we construct a price-weighted index using those three stocks, what's the index return will be? (2) Suppose we define the initial level of the price-weighted index to be 100, what is the final level of this index

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