Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 14, 2024

For small-cap stocks, if arithmetic average was 20% and the standard deviation were reported to be 10%, what would be the approximate geometric average return

For small-cap stocks, if arithmetic average was 20% and the standard deviation were reported to be 10%, what would be the approximate geometric average return for these small-cap stocks?

	A.	Approx. 12.5%
	B.	Approx. 15.5%
	C.	Approx. 9.5%
	D.	Approx. 19.5%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Corporate Finance Investment And Advisory Applications

Authors: Jesse McDougall, Patrick Boyle

1st Edition

1530116597, 9781530116591

More Books

Students also viewed these Finance questions

Question

★★★★★

Otis Company's income statement information follows: ___________________________________________2018 2017 Net sales...................................................... $480,000........................

Answered: 1 week ago

Question

★★★★★

The New York Times discovered that 24 of the employees in its payroll processing center were sending inappropriate and offensive e-mail in violation of corporate policy. Do the employees have any...

Answered: 1 week ago

Question

★★★★★

4. One important way in which a teacher can motivate students is to show an interest in their lives. All but which one of the following are appropriate motivational strategies that demonstrate an...

Answered: 1 week ago

Question

★★★★★

The Eatery is a restaurant in DeKalb, Illinois. It specializes in deluxe sandwiches in a moderate price range. Michael Raye, the manager of The Eatery, has determined that during the last 2 years the...

Answered: 1 week ago

Question

★★★★★

Please write your code in R and submit your script and results for each of the following. Use the functions expand() and S1_function() to do the following: Create a second function for substitution...

Answered: 1 week ago

Question

★★★★★

Drivers of SUVs and light trucks have the highest mortality rate in traffic accidents. This is an example of (A) costly-to-fake principle. (B) full disclosure principle. (C) signalling breakdown. (D)...

Answered: 1 week ago

Question

★★★★★

. Sunkanmi Ltd., commenced work on shopping complex for Ona Ara Local Government on 1st January, 2019. The contract price is N8,100,000. As at 31st December, 2019 the following cost have been...

Answered: 1 week ago

Question

★★★★★

Question 4 Lack of diversity claim is a misconception, says Bonia KUALA LUMPUR: Netizens have reignited the issue of a lack of diversity in the workplace amid a viral TikTok clip depicting Bonia...

Answered: 1 week ago

Question

★★★★★

Compute the kurtosis (a al for a data set with a sample size of n = 6, a sample mean value of = 9.83, a sample variance of 8 2 == 14.97. =1 455.5, and E(x-2) = 3814.9.

Answered: 1 week ago

Question

★★★★★

Foellinger Inc. has a WACC of 12.0%. Assuming that a DCF uses a midyear convention, what is the discount factor in year 4?

Answered: 1 week ago

Question

★★★★★

Based on porter's five forces - The threat of substitutes The more tech-oriented companies are, the fewer people have to work - How does tech threaten to replace/act as a substitute for human...

Answered: 1 week ago

Question

★★★★★

In what ways can confl ict enrich relationships?

Answered: 1 week ago

Question

★★★★★

How do listening and hearing diff er?

Answered: 1 week ago

Question

★★★★★

How does eff ective listening diff er across listening goals?

Answered: 1 week ago

Previous Question Next Question