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The following three defense stocks are to be combined into a stock index in January 2016 (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 2016 (perhaps a portfolio manager believes these stocks are an appropriate benchmark for his or her performance) Suppose that Douglas McDonnell shareholders approve a 2-for-1 stock split on January 1, 2017 Price Douglas McDonnell Dynamics General International Rockwell Shares (millions) 215 455 250 1/1/16 $ 64 72 101 1/1/17 $ 68 64 90 1/1/18 $ 82 78 106 a. What is the new divisor for the index? (Do not round intermediate calculations. Round your answer to 3 decimal places.) New divisor b. Calculate the rate of return on the index for the year ending December 31, 2017. if Douglas McDonnell's share price on January 1 2018, is $24.73 per share. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Rate of rham

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