Question: please answer all 4 multiple choice questions Which of the following is false? The geometric average return is calculated by assuming compounding from year to


please answer all 4 multiple choice questions Which of the following is false? The geometric average return is calculated by assuming compounding from year to year The arithmetic average return is larger than the geometric return for a given set of positive returns The arithmetic average return is the best guess for an investment's return in a single time period (based on historical performance) The geometric average return is the appropriate measure of return for multiple time periods (assuming compounding) None of these they are all true Consider the normal probability distribution below. What is the probability contained within area ABCD? A Hoe 84% 81.5% 95% 96.5% 94.5% A share of preferred stock pays an annual dividend of $4.00. What is the price of the preferred stock if the required rate of return is 11%? $50.00 $44.44 $40.00 $36.36 $33.33 -2% Common stock of XYZ Corporation stock has the following probability distribution of returns: State Probability Return Boom 10% 20% Normal 60% 8% Bust 30% The standard deviation of returns for XYZ Corporation stock is: 4.11% .0041% .0642% 6.42% 7.00%
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