The data file contains the prices and market capitalisation of 30 stocks which made up the Dow Jones Industrial Average in September 2014.

(a) Compute the Dow Jones Industrial Average for December 2013 using

\[
D J I A_{t}=\frac{1}{D} \sum_{j=1}^{30} P_{j t}
\]

where the Dow Jones divisor, \(D\), is taken to be 0.15571590501117 . Verify that your result is identical to quoted value of the Dow for that month.

(b) Construct portfolio shares for each of the Dow Jones stocks based on market capitalisation for the month of December 2013. Comment on the which stocks receive the most weight in the Dow under the price and market capitalisation weighting schemes, respectively.

(c) Combine the 30 constituent stocks of the Dow Jones to form two indices, one based on simple price weighting and the other using shares constructed from market capitalisation. Plot the indices over the sample period and comment on the differences.