Ten annual returns are listed in the following table: (Click on the following icon 9 in order to copy its contents into a spreadsheet.) - 19.8% 16.9% 18.3% - 49.9% 43.5% 1.5% - 16.5% 46.3% 44.6% -...


part B and C


Ten annual returns are listed in the following table: (Click on the following icon 9 in order to copy its contents into a spreadsheet.)<br>- 19.8%<br>16.9%<br>18.3%<br>- 49.9%<br>43.5%<br>1.5%<br>- 16.5%<br>46.3%<br>44.6%<br>- 3.6%<br>a. What is the arithmetic average return over the 10-year period?<br>b. What is the geometric average return over the 10-year period?<br>c. If you invested $100 at the beginning, how much would you have at the end?<br>.....<br>a. What is the arithmetic average return over the 10-year period?<br>The arithmetic average return over the 10-year period is 8.13 %. (Round to two decimal places.)<br>b. What is the geometric average return over the 10-year period?<br>To find the geometric average return, use the following formulas.<br>First find the future value of investing $1 today, using the following formula:<br>FV = $1x ( (1+R,) × (1 + R2) × • • • × (1+ R7))<br>Then use the following formula and solve for R:<br>FV = $1×(1 + R)0<br>The geometric average return, R, over the 10-year period is<br>%. (Round to four decimal places.)<br>

Extracted text: Ten annual returns are listed in the following table: (Click on the following icon 9 in order to copy its contents into a spreadsheet.) - 19.8% 16.9% 18.3% - 49.9% 43.5% 1.5% - 16.5% 46.3% 44.6% - 3.6% a. What is the arithmetic average return over the 10-year period? b. What is the geometric average return over the 10-year period? c. If you invested $100 at the beginning, how much would you have at the end? ..... a. What is the arithmetic average return over the 10-year period? The arithmetic average return over the 10-year period is 8.13 %. (Round to two decimal places.) b. What is the geometric average return over the 10-year period? To find the geometric average return, use the following formulas. First find the future value of investing $1 today, using the following formula: FV = $1x ( (1+R,) × (1 + R2) × • • • × (1+ R7)) Then use the following formula and solve for R: FV = $1×(1 + R)0 The geometric average return, R, over the 10-year period is %. (Round to four decimal places.)

Jun 11, 2022
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