Amarillis Baert has an investment account with ASB, and she makes contributions to her account as funds become available. Self-employed, Amarillis receives money from her clients on an irregular basis. She began the month of September 2019 with a balance in her account of $100,000. She received funds in the amount of $3,000 and made a deposit into her account on September 10. Next, she received a payment of $2,500 on September 20 and made another contribution. The value of her account after the first contribution was $105,000 and the account value was $108,000 after the second contribution. The account was valued at $110,000 at the end of September 2019. All contributions were made at the very end of the days mentioned above.

a.  Compute the geometric average return and express it on a monthly basis.

b.  Compute the holding period return for September 2019.

c.  Compute the dollar (money) weighted return and express it on a monthly basis

Answer rating: 100% (QA)

ANSWER The balance on 1 Sep2019 100000 On 10th sep 2019 balance 105000 She received payment from cli... View the full answer