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PO P1 (b) If now the components stocks look this way: Table 1-2 Component stocks...

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PO P1 (b) If now the components stocks look this way: Table 1-2 Component stocks of Index X Stocks MVO Rtnl Stock split? A 10 100 10% ? No B 20 400 -10% ? No 30 300 4% ? No D 60 1,200 6% ? Yes, 2 for 1 Notes: Stock split 2 for 1 means that the stock price after split is a half of the pre-split level, while the number of shares outstanding doubles (b-1) Fill in the blanks (b-2) What are the price weighted, value weighted, and equally weighted indices at time 1? What are the index returns in these cases

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