What is the difference between the simple arithmetic average return and the geometric average return? Under what

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What is the difference between the simple arithmetic average return and the geometric average return? Under what circumstances is it appropriate to use each method?

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Principles of Finance

ISBN: 978-1285429649

6th edition

Authors: Scott Besley, Eugene F. Brigham

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Question Posted: Nov 24, 2014 09:28 AM

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What is the difference between the simple arithmetic average return and the geometric average return? Under what

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The geometric average return takes into consideration compounding while ...View the full answer

Principles of Finance

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