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finance/ statistics a. What is the arithmetic average return over the 10 -year period? b. What is the geometric average return over the 10-year period?
finance/ statistics
a. What is the arithmetic average return over the 10 -year period? b. What is the geometric average return over the 10-year period? c. If you invested $100 at the beginning. how much would you have at the end? a. What is the arithmetic average return over the 10-year period? The arithmetic average return over the 10-year period is \%. (Round to two decimal places.) b. What is the geometric average return over the 10-year period? To find the geometric average retum, use the following formulas. First find the future value of investing $1 today, using the following formula: FV=$1((1+R1)(1+R2)(1+RT)) Then use the following formula and solve for R : FV=$1(1+R)10 The geometric average return, R, over the 10 -year period is \%. (Round to four decimal places.) Step by Step Solution
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