Ask Question
24 February, 12:53

You have calculated the historical dollar weighted return, annual geometric average return and annual arithmetic average return. You always reinvest your dividends and interest earned on the portfolio. Which method provides the best measure of the actual average historical performance of the investments you have chosen?

A. dollar weighted return.

B. geometric average return.

C. arithmetic average return.

D. index return.

+3
Answers (1)
  1. 24 February, 15:05
    0
    B. Geometric average return.

    Explanation:

    Geometric average return is also known as geometric mean return, primarily used for investments that are compounded. It is used to calculate the total divided by how many periods there is.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “You have calculated the historical dollar weighted return, annual geometric average return and annual arithmetic average return. You always ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers