3) Consider the following three stocks: Stock Price Number of shares outstanding Stock A $ 10 200 Stock B $70 500 Stock C $10 600 Assume at these prices that the value-weighted index constructed with...

Please provide an accurate answer with justification.

Extracted text: 3) Consider the following three stocks: Stock Price Number of shares outstanding Stock A $ 10 200 Stock B $70 500 Stock C $10 600 Assume at these prices that the value-weighted index constructed with the three stocks is 490. What would the index be if stock B is split 2 for 1 and stock C 4 for 1? A) 265 B) 430 C) 355 D) 490 E) 1000