Calculate the price-weighted index return

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Consider the three stocks in the following table. Pt represents the price at the end of period t and Qt is the number of shares outstanding. Stock C splits 3:1 during period 2.

P0 Q0 P1 Q1 P2 Q2

A $ 115.00 150.00 $125.00 150.00 $128.00 150.00

B $ 66.00 400.00 $72.00 400.00 $ 77.00 400.00

C $ 36.00 200.00 $ 45.00 200.00 $ 24.00 600.00

Calculate the price-weighted index return for the period ending in 2.

Reference no: EM132780851

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