Lisa Owns a Stock That Has an Average Geometric Return

question 42

Multiple Choice

Lisa owns a stock that has an average geometric return of 11.34 percent and an average arithmetic return of 11.51 percent over the past six years.What average annual rate of return should Lisa expect to earn over the next four years?

• A)11.38 percent
• B)11.41 percent
• C)11.44 percent
• D)11.47 percent
• E)11.51 percent

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Definitions:

GetMessage

GetMessage is typically a method in many programming languages and frameworks used to retrieve a message or description from an exception object.

Exception Object

An instance of an Exception class or its subclasses, representing an error or unexpected event that occurs during program execution.

PrintStackTrace

A method in Java that prints the call stack of an exception to the standard error stream, helping in debugging.

Method

A method is a block of code defined within a class in object-oriented programming that performs a specific task.