The following returns were realized on an investment over a 5-year period. Year 1 2 3 4
Question:
The following returns were realized on an investment over a 5-year period.
Year 1 2 3 4 5 Rate of Return .10 .22 .06 .05 .20
a. Compute the mean and median of the returns.
b. Compute the geometric mean.
c. Which one of the three statistics computed in parts
(a) and
(b) best describes the return over the 5-year period? Explain.
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Related Book For
Accounting And Finance For Business
ISBN: 9780273773948
1st Edition
Authors: Geoff Black, Mahmoud Al-Kilani
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