Question
You have the following rates of return for a risky portfolio for several recent years. Assume that the stock pays no dividends. Year Beginning of
You have the following rates of return for a risky portfolio for several recent years. Assume that the stock pays no dividends.
| Year | Beginning of Year Price | # of Shares Bought or Sold |
|---|---|---|
| 2016 | $ 50.00 | 100 bought |
| 2017 | $ 55.00 | 50 bought |
| 2018 | $ 51.00 | 75 sold |
| 2019 | $ 54.00 | 75 sold |
What is the geometric average return for the period?
Multiple Choice
2.87%
2.60%
0.74%
2.21%
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International Corporate Finance
Authors: Mark R. Eaker, Frank J. Fabozzi, Dwight Grant
1st Edition
0030693063, 9780030693069
