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):

		Price
	Shares (millions)		1/1/19			1/1/20			1/1/21
Douglas McDonnell	215		$	64		$	68		$	82
Dynamics General	455			72			64			78
International Rockwell	250			101			90			106

a. Calculate the initial value of the index if a price-weighting scheme is used.

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.)

2019 return		%
2020 return		%