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When comparing the geometric return of an index with its arithmetic return, which of the following is false? A. The geometric return will never exceed
When comparing the geometric return of an index with its arithmetic return, which of
the following is false?
A. The geometric return will never exceed the arithmetic return
B. The geometric return will never equal the arithmetic return
C. The geometric return represents an internal rate of return, while the arithmetic
return typically does not
D. Historic arithmetic returns are typically chosen over geometric returns as inputs
when estimating future returns
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