Question: Calculate the annual arithmetic mean and geometric mean return on the following security, purchase price = $ 2 5 ; first - year dividend =

Calculate the annual arithmetic mean and geometric mean return on the following security, purchase price = $25; first-year dividend = $2; price after one year = $30; second-year dividend = $2; selling price after two years = $23.(Round intermediate calculations to 3 decimal places, e.g.15.251% and the final answers to 2 decimal places, e.g.15.25%.)
Arithmetic average return
%
%
Geometric mean return
State which method is more appropriate for the situation.

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