Question: Problem 2-12 Consider the three stocks in the following table. Pe 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. Pe represents price at time t, and Qt represents shares outstanding at time t. Stock splits two for one in the last period. Pe 00 P1 01 P2 02 95 100 B 200 170 100 100 85 100 80 180 100 200 200 200 80 95 200 400 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. es Rate of return % b. An equally weighted index. Rate of return %
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