2. Based on the information given for the three stocks in Question 1, calculate the first-period rates of return (from t = 0 to t = 1) on

   a) A market-value-weighted index. b) An equally-weighted index.

Eerches: 1. Based on the information given, for an average price-weighted index of the three stocks calculate R $ PA 5.36 Stock Stock Stock R $72 581 200 500 300 ISAS 200 500 300 400 500 300 $105 598 the rate of return for the first period it tot 1) and the value of the divisor at t1. by the value of the divisor in the second period it 2). Assume that Stock Abad 2-1 split during this period the rate of return for the second period it I tot-2). We stume that a 2-1 split took place for stock CROSS