Consider the Following Realized Annual Returns

question 74

Multiple Choice

Consider the following realized annual returns:

The average annual return on the S&P 500 from 1996 to 2005 is closest to ________.

• A) 8.68%
• B) 4.34%
• C) 5.21%
• D) 9.55%

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Definitions:

Multiplying

The process of increasing in number or quantity, often used in the context of cells dividing or investment growth.

Numerals

Symbols or characters used to represent numbers.

Adding

The mathematical process of combining two or more quantities to get a total or sum.

Borrowing

The act of receiving something from someone with the intention of returning it or its equivalent later.