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Let r(t) denote the return of an asset in time period t, and assume that time varies over 7 periods, i.e., t= 1, 2, ...,

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Let r(t) denote the return of an asset in time period t, and assume that time varies over 7 periods, i.e., t= 1, 2, ..., T-1, T. Let total denote the total return over the 7 periods. Note that the log return of rater is computed by log[1 + r]. Thus, (1 + /total ) = (1 + 7(1)) x(1 + 7(2)) ... (1 + r(T - 1)) x(1 + r(r> = [Ja + max 1=1 Show that maximizing the log return of r(t) also maximizes /total

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