Which One of the Following Best Describes an Arithmetic Average

question 45

Multiple Choice

Which one of the following best describes an arithmetic average return?

• A)total return divided by N - 1,where N equals the number of individual returns
• B)average compound return earned per year over a multi-year period
• C)total compound return divided by the number of individual returns
• D)return earned in an average year over a multi-year period
• E)positive square root of the average compound return

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Definitions:

Alarm Stage

The initial reaction of the body to stress, activating the fight or flight response as part of the general adaptation syndrome.

Exhaustion Stage

The exhaustion stage is the final phase of the stress response, where the body's ability to resist stressors diminishes significantly after prolonged exposure, leading to depletion of energy and possible health deterioration.

Stress

A physical, mental, or emotional factor causing bodily or mental tension, stemming from any event or thought that makes one feel frustrated, angry, or nervous.

Psychological State

An individual's current mental condition, including their feelings, thoughts, and emotions, which can be influenced by various factors and may fluctuate.