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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

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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) Assume the index is scaled by a factor of 10 million, that is if the total value of a firms in the market is $5 billion the index would be quoted as 500 Price 1/1/20 Shares (los) 215 455 230 Douglas Donnell Dynamics General International Rock 3.54 11/21 $32 78 106 101 Calculate the initial value of the index, if a value:-weighting scheme is used (Round your answer to 2 decimal places) Index value b. What is the rate of return on this index for the year ending December 31, 2019? For the year ending December 31, 2020? (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places) 2013 2020

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