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

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Definitions:

Structuralism/poststructuralism

A philosophical approach emphasizing the understanding of cultural and social phenomena in terms of underlying structures (structuralism) and their inherent instability and openness to interpretation (poststructuralism).

Constructivism

A philosophical viewpoint suggesting that humans construct meaning rather than discovering a pre-existing truth.

Social-constructivism

A theory that suggests knowledge is constructed through social interactions and cultural norms, emphasizing the importance of social context in understanding reality.

Second-order Cybernetics

An advanced perspective in cybernetics that includes the observer within the system being observed, emphasizing context and interaction.