A Stock Has Annual Returns of 6 Percent,14 Percent,-3 Percent,and

question 32

Multiple Choice

A stock has annual returns of 6 percent,14 percent,-3 percent,and 2 percent for the past four years.The arithmetic average of these returns is _____ percent while the geometric average return for the period is _____ percent.

• A)4.57; 4.75
• B)4.75; 4.57
• C)6.33; 6.19
• D)6.19; 6.33
• E)6.33; 6.33

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