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Suppose the Quarterly Arithmetic Average Return for a Stock Is

Question 28

Multiple Choice

Suppose the quarterly arithmetic average return for a stock is 10% per quarter and the stock gives a return of 15% each over the next two quarters. The arithmetic average return over the six quarters is ________.


A) 15.17%
B) 11.67%
C) 12.83%
D) 16.33%

Correct Answer:

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