An Initial Investment of $10,000 Has a Value of $7,382

question 123

Short Answer

An initial investment of $10,000 has a value of $7,382 at the end of year 1,a rate of return of 62.43 percent for year 2,and a geometric mean return at the end of year 3 of 0.512.Determine the rate of return for the third year.

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Definitions:

Serve First

A principle focusing on prioritizing service to others as a fundamental approach in leadership or business practices.

Lead Second

Assuming a leadership or influential position after serving in a supporting or subordinate role; often involves supporting a primary leader before taking a lead role.

Metabolic Rate

The speed at which the body consumes energy to maintain basic life functions, such as breathing and circulation.

Dietary Restriction

Limitations on the amount and type of food ingested for reasons such as health, religious beliefs, or ethical choices.