The Arithmetic Average Return on Your Portfolio for the Past

question 41

Multiple Choice

The arithmetic average return on your portfolio for the past five years was 8.4 percent.Assume you earned -6 percent,25 percent,10 percent,and 6 percent for four of those five years.What rate of return did you earn in the fifth year?

• A)5.0%
• B)6.0%
• C)7.5%
• D)7.0%
• E)10.0%

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Definitions:

Norepinephrine

A neurotransmitter and hormone involved in the body's fight or flight response, affecting heart rate, blood flow, and blood pressure.

Retroperitoneal

Located behind the peritoneum, the membrane lining the abdominal cavity and covering the abdominal organs.

Mesenteries

Folds of peritoneum that attach the intestines to the abdominal wall, supporting and allowing vascular and neural communication.

Mastication

The action of masticating food to ready it for swallowing and subsequent digestion.