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Suppose an asset increased from $100 to $110 during the course of year 1, then decreased to $105 during year 2, and then increased to

  1. Suppose an asset increased from $100 to $110 during the course of year 1, then decreased to $105 during year 2, and then increased to $120 by the end of year three. What is the geometric average return of the asset over the three-year period?
    1. 13.74%
    2. 20.00%
    3. 6.58%
    4. 6.27%

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