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A stock had returns of 30%, -18%, and 45% in each of the past three years. Over the past four years, the arithmetic average annual
A stock had returns of 30%, -18%, and 45% in each of the past three years. Over the past four years, the arithmetic average annual return for the stock was 21.75%. What was the geometric return for the stock over the past four years? Note that individual stock reruns are only given for each of the past years, but that the question asks about the geometric return over the past four years.
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