Which One of the Following Should Be Used as the Mean

question 14

Multiple Choice

Which one of the following should be used as the mean return when you are defining the normal distribution of an investment's annual rates of return?

• A)arithmetic average return for the period
• B)geometric average return for the period
• C)total return for the period divided by N − 1
• D)arithmetic average return for the period divided by N − 1
• E)geometric average return for the period divided by N − 1

Understand the valuation techniques applicable to companies with negative cash flows but potential for significant earnings.

Analyze the factors and characteristics that lead to successful venture capital deals.

Understand different financing strategies for companies including last resort options.

Comprehend the critical elements of valuation in private company fundraising.