An investor is evaluating the historical performance of an investment fund. The following annual returns are provided to the investor: Fund Value Year 0 $260 Year 1 286 Year 2 328 Year 3 315 Year 4 310 Year 5 305 Required: a. Calculate the investment returns for each year. b. Compute the arithmetic mean return. c. Calculate the geometric mean return.

Answer rating: 100% (QA)

a Annual returns Year Return Year 1 1000 Year 2 1469 ... View the full answer