Over the Last Four Years,a Stock Has Had an Arithmetic

question 95

Multiple Choice

Over the last four years,a stock has had an arithmetic average return of 8.8 percent.Three of those four years produced returns of 16.3 percent,10.2 percent,and -14.1 percent,respectively.What is the geometric average return for this four-year period?

• A)7.83 percent
• B)8.39 percent
• C)8.67 percent
• D)9.40 percent
• E)9.97 percent