Question: help please! Consider the three stocks in the following table. pt represents price at time t and t represents shares outstanding at tme t Stock
help please!
Consider the three stocks in the following table. pt represents price at time t and t represents shares outstanding at tme t Stock splits two for one in the last period 0. Caiculate the rate of return on a price-weighted index of the three stocks for the first perlod (=0 to t=1). (Do not round Intermediate calculations. Round your answer to 2 decimal places.) b. Calculate the new divisor for the price-weighted index in year 2 (Do not round intermedlate calculations. Round your answer to decimal places.) c. Calculate the rate of return for the second perlod (t=1 to t=2). (Round your answer to 2 decimal places.)
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