When, If Ever, Will the Geometric Average Return Exceed the Arithmetic

question 85

Multiple Choice

When, if ever, will the geometric average return exceed the arithmetic average return for a given set of returns?

• A)When the set of returns includes only risk-free rates
• B)When the set of returns has a wide frequency distribution
• C)When the set of returns has a very narrow frequency distribution
• D)When all of the rates of return in the set of returns are equal to each other
• E)Never

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Definitions:

Conduction Hearing Impairment

A form of hearing loss where sound waves are unable to efficiently travel through the external ear canal to the eardrum and ossicles of the middle ear.

Nerve Hearing Impairment

A type of hearing loss resulting from damage to the auditory nerve, affecting the transmission of sound signals to the brain.

Auditory Pathways

The neural pathways that sound travels from the ear through the auditory cortex of the brain.

Cochlea

Snail-shaped structure of the inner ear that is filled with fluid.