Suppose that you have a three-year holding period. Your investment earns the following annual returns:...
70.2K
Verified Solution
Link Copied!
Question
Finance
Suppose that you have a three-year holding period. Your investment earns the following annual returns:
year 1: 11%
year 2: 22%
year 3: -1%
Suppose that you had invested $1,000 initially. During your holding period, you reinvest any cash payments such as interest and dividends back into this investment. What is the geometric mean annual return for your investment?
Do not round at intermediate steps in your calculation. Express your answer in percent. Round to two decimal places. Do not type the % symbol. If the geometric mean is negative, then include a minus sign.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
