A stock had returns of 10 percent, 14 percent, 16 percent, -4 percent, 16 percent, and 8 percent over the last six years.

Required:

(a) What is the arithmetic return for the stock?

a.) 10.10% b.) 12.00% c.) 10.00% d.) 10.20% e.) 10.50%

(b) What is the geometric return for the stock?

a.) 9.87% b.) 9.57% c.) 11.84% d.) 9.77% e.) 10.24%