Question: What are the arithmetic and geometric average returns for a stock with annual returns of 26%, 4%, -30%, 43%, and 7%? A. 10.0%; 21.8% B.

  1. What are the arithmetic and geometric average returns for a stock with annual returns of 26%, 4%, -30%, 43%, and 7%?

    A.

    10.0%; 21.8%
    B.

    10.0%; 7.0%
    C.

    10.0%; 8.8%
    D.

    12.5%; 7.0%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

You are holding a stock that and has a beta of 2 and is currently in equilibrium. The required return on the stock is 15%, and the market return is 10 percent. What would be the return on the stock,...

Q:

What are the arithmetic and geometric average returns for a stock with annual returns of 26%, 4%, -30%, 43%, and 7%? 12.5%; 7.0% 10.0%; 8.8% 10.0%; 21.8% 12.5%; 8.8% 10.0%; 7.0%

Q:

8 What are the arithmetic and geometric average returns for a stock with annual returns of 26%, 4%, -30%, 43%, and 7%? O A. 10.0%; 7.0% . . 10.0%; 21.8% OC. 12.5%; 7.0% OD. 10.0%; 8.8% 2 points Save

Q:

What is the geometric average retums for a stock with annual returns of 26%, 4% -30%, 43%, and 7%? 8.8% 7.3% 7,0% 7.8% 21.8% You just sold 200 shares of Langley, Inc. stock at a price of $38.75 a...

Q:

What are the Arithmetic and geometric average returns for a stock with annual returns of 26 percent, 4 percent, - 30 percent, 43 percent, and 7 percent? Show Work.

Q:

Can you please answer these problems, I need the answer within the next 36 hours. Thanks. 1. Suppose a stock had an initial price of $72 per share, paid a dividend of $2.60 per share during the year,...

Q:

QUESTION 10 A stock has the following returns : 26%, 4%, -30%, 43%, and 7%. What are the arithmetic and geometric average returns of the stock? 12.5%; 7.0% 10%, and 7% 7% and 10% 12.5% and 8.8%...

Q:

QUESTION 8 The affect of Covid-19 pandemic on the stock market is an example of unsystematic risk True False QUESTION 9 Testa, Inc. stock has a beta of 1.23. The risk-free rate of return is 4.5% and...

Q:

a. You have been given the monthly prices for MacDonalds stock and the SPY (an ETF that tracks the S\&P 500 index) in the attached excel file for the last 5 years. i. Compute the monthly returns for...

Q:

Suppose that an investor opens an account by investing $1,000. At the beginning of each of the next four years, he deposits an additional $1,000 each year, and he then liquidates the account at the...

Q:

How can you use the Android camera API to build a custom camera application that provides advanced features like manual focus, exposure control, and white balance adjustment? Explain the steps...

Q:

Taque To is appled at he midrint of a soled sted bar with Mameter de 13 and length 15L which 1s thuckness ty and lenath oes L. The twist t c is specefod bonded to two Grass collars, each wnth wall IS...

Q:

Your bank pays 4 % interest, compounded semiannually. Use Table 1 2 - 1 to find the future value ( in $ ) of $ 5 0 0 deposited at the beginning of every six months, for 1 7 years. ( Round your answer...

Q:

1.3 Identify the seven (7) principles of supply chain management and demonstrate, using appropriate examples, how your organisation applies these principles

Q:

3. An initial value (anchoring).

Q:

4. Similarity (representativeness).

Q:

2. In this chapter, the reader should reflect on the following concepts: Idealized system design, analogue thinking, contrast principle, consistency principle, reciprocity principle, scarcity...