You Have Calculated the Historical Dollar-Weighted Return, Annual Geometric Average

question 38

Multiple Choice

You have calculated the historical dollar-weighted return, annual geometric average return, and annual arithmetic average return. You always reinvest your dividends and interest earned on the portfolio. Which method provides the best measure of the actual average historical performance of the investments you have chosen?

• A) dollar-weighted return
• B) geometric average return
• C) arithmetic average return
• D) index return

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Definitions:

Job Enrichment

Job enrichment refers to the method of motivating employees by giving them more responsibilities and variety in their jobs.

Competitive Wages

Compensation or salary levels that are attractive enough to retain and recruit employees, often in line with or above averages within the industry or region.

Increased Work

A situation where the volume or intensity of tasks and responsibilities assigned to an individual or team grows.