Solving a comprehensive problem

(Solving a comprehensive problem) Use the end-ol-year stock price data in the popup window, To antwor the following questions for the Harris and Pirmathel companies. a. Compute the annual rates of rebum for each fime period and for both fims: b. Calatase both the aritheble and the gecmetne mean rates of rosum for the entire three-year penod using your annual rates of retum from part a (Note: you may assume that neither fim pays any dividends.) c. Compute a three-year rate of return spanning the entire peciod (ie, using the ending price for period 1 and ending price for period 4). d. Since the rate of retum calculated in part e is a three-year rate of retam, convert it to an annual rale of rotum by using the following equation. (1+Three-YearRateofRetum)=(1+AnnualRateofReturn)3 2. How is the annual rate of robum calculated in part d related to the geometric rate of return? When you are evaluasing the performance of an investment that has been heid for several years, what bpe of average rath of retum (arithmesc or gecmetric) should you une? Why? 2. Encer the annual rate of retum for each year for Harris in the table below. (Round to two docinal places)