The Dollar-Weighted Return on a Portfolio Is Equivalent to

question 74

Multiple Choice

The dollar-weighted return on a portfolio is equivalent to

• A) the time-weighted return.
• B) the geometric average return.
• C) the arithmetic average return.
• D) the portfolio's internal rate of return.
• E) None of the options are correct.

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Definitions:

Support Price

A price level set by governments in order to maintain the market price of a good or service at a particular minimum level to protect producers.

Consumer Surplus

The difference between what consumers are willing to pay for a good or service versus what they actually pay, measuring the benefit to consumers from participation in the market.

Equilibrium Price

The price at which the quantity of a good or service demanded equals the quantity supplied, resulting in market equilibrium.

Consumer Surplus

The variance between the amount buyers are ready to spend on a good or service and the amount they actually pay.