Stock A had the following HPY Stock A had the following HPY's over the last five...

Question

Question

Stock A had the following HPY

Answer 1

Answer #1

Answer:

Correct answer is:

0.0115

Explanation:

Geometric mean return = ((1 - .10) * (1 + .05) * (1 + .12) * (1 - .18) * (1 + .22)) ^(1/5) - 1

= 0.0115

As such option D is correct and other options A, B and C are incorrect.

Answer 2

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