solve 20- a and b

19. 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. (LO 2-2) a. Calculate the rate of return on a price-weighted index of the three stocks for the first period (t=0 to t=1). b. What must happen to the divisor for the price-weighted index in year 2 ? c. Calculate the rate of return of the price-weighted index for the second period (t=1 to t=2). 20. Using the data in the previous problem, calculate the first-period rates of return on the following indexes of the three stocks: (LO 2-2) a. A market value-weighted index b. An equally weighted index