1)Steve buys 1000 shares of Axe stock at $55 per share on January 1, Year 1. At the end of the second year (December 31, Year 2), he buys another 500 shares for $40 per share. Axe is trading at $63.00 per share as of December 31, Year 3. What is the dollar weighted return for Steves investment in Axe since January 1, Year 1 to December 31, Year 3?

Group of answer choices

9.7%

9.1%

14.4%

12.2%

2)You invest $100 in a mutual fund that grows 10 percent annually for four years. Then the fund experiences an exceptionally bad year and declines by 60 percent. After the bad year, the fund resumes its 10 percent annual return for the next four years. What is the geometric average annual return over the nine years?

Group of answer choices

-2.3%

1.9%

2.5%

-1.7%