Question: Problem 2-12 Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t Stock

 Problem 2-12 Consider the three stocks in the following table. Pt

Problem 2-12 Consider the three stocks in the following table. Pt represents price at time t, and Qt represents shares outstanding at time t Stock C splits two for one in the last period. A B C PO 75 70 140 85 170 170 A1 85 65 145 41 85 170 170 P2 85 65 75 85 170 340 Calculate the first-period rates of return on the following indexes of the three stocks (t= 0 to t= 1): (Do not round intermediate calculations. Round your answers to 2 decimal places.) a. A market value-weighted index. Rate of return % b. An equally weighted index. Rate of return %

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