You decide to invest $200,000 in cryptocurrencies and you use that amount to buy bitcoin. Your bitcoin appreciates by 20% in one month, at which point you liquidate half your position for cash, which you do not reinvest. Bitcoin appreciates by another 30% during the second month and you sell an additional 60% of your holdings. The cryptocurrency then falls by 80% in the third month, at which point you liquidate your entire position for cash.

a. What is your dollar-weighted monthly return?

b. What is the effective annualized return of your answer to part a. above?

c. What would have been your monthly return had you not liquidated any portion of your position until the end of the third month?