Question

In: Finance

What is the geometric average return of the following quarterly returns: 5%, 3%, 2%, and 7%?...

What is the geometric average return of the following quarterly returns: 5%, 3%, 2%, and 7%?

Enter answer in percents, to two decimal places.

Solutions

Expert Solution

Ans 3.81%

the geometric average return of the following quarterly returns: 5%, 3%, 2%, and 7% is 3.81%

Geometric Mean = ( 5* 3 * 2 * 7)^1/4
( 5* 3 * 2 * 7)^0.25
3.81

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