Q2. (8 points) Five annual returns are listed in Year 1 -20% 2 3 17% 18% 4 -30% 5 40% If you invested $100 at the beginning, how much would you have at the end?
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- Ten annual returns are listed in the following table: 19.5% 16.5% 17.8% - 49.8% a. What is the arithmetic average return over the 10-year period? b. What is the geometric average return over the 10-year period? c. If you invested $100 at the beginning, how much would you have at the end? (Click on the following icon in order to copy its contents into a spreadsheet.) 43.3% 1.7% 44.9% - 16.9% 46.3% -3.7%Ten annual returns are listed in the following table: (Click on the following icon in order to copy its contents into a spreadsheet.) - 19.6% 16.2% 18.3% - 49.8% 43.7% 1.1% - 16.4% a. What is the arithmetic average return over the 10-year period? b. What is the geometric average return over the 10-year period? c. If you invested $100 at the beginning, how much would you have at the end? 46.4% a. What is the arithmetic average return over the 10-year period? The arithmetic average return over the 10-year period is %. (Round to two decimal places.) 45.3% - 3.9%Y2 Aportfolio manager states that the return for the period is 5.34 per cent by using the following annual rates of returm Year. Return 1. 6% 2 -37% 3. 27% What type of rate of return (HPR AM or GM) said by the manager and why?
- What monthly compounded nominal rate of return would one need to achieve in order to have investments of $100 made at the end of every month for 35 years accumulate to $1 million?Group of answer choices 11.35 % 13.62 % 12.93 % 14.50% 14.76%Q1 (A). An investment of $100 produces rate of return as follows In year 1: a gain of 10 percent In year 2: a loss of percent In year 3: a loss of 8 percent In year 4: a gain of 3 percent. Calculate the value of the investment at the end of the fourth year and calculate the mean annual rate of return.2. Over the last nine years, you have earned the following returns on the NZX Year (ending in March) 2013-2014 17.45% 2014-2015 15.17% 2015-2016 17.26% 2016-2017 7.94% 2017-2018 16.92% 2018-2019 19.54% 0.36% 2019-2020 2020-2021 28.93% 2021-2022 -5.17% Return You have also collected the level of the CPI over the same period: Date March 2013 March 2014 March 2015 March 2016 March 2017 March 2018 March 2019 March 2020 March 2021 March 2022 Level 958 972 975 979 1000 1011 1026 1052 1068 1142 (a) For each tax year, calculate the inflation rate. (b) Now calculate a real rate of return for the NZX50 (use the full for- mula, not the approximation) for each year. (c) What is the mean nominal return for the NZX50? What is the mean real return? (d) What is the nominal volatility for the NZX50? What is the real volatility of the NZX50? (e) Suppose New Zealand had a 33% tax levied on capital gains and all dividends. Repeat your analysis, calculating after-tax mean real and nominal returns, along…
- What is the FV at the end of year 5 of $2212 put in an account today if the return is 8.6% per year?What is the rate of return (the interest rate) on an investment today of $30,626.24 if the company expects to receive $45,000 in 5 years? а. 9% O b. 8% С. 6% d. 7%PV at 10% for the end year 2. How to use it on the financial calculator?
- What is the effective annual rate (EAR) of 8% per year, compounded monthly? Select one: O a. 8.29% O b. 7.72% C. 8% O d. 8.66 % nge CHAPTER 5- STO R 3- RATIO ANALYSIS (1) Jump to...If the arithmetic gradient is 1000$ and interest rate is 10% what the present sum of company after 5 years. Select one: a. 6832$ O b. 6862$ O c. 6830$What is the Effective Annual Return (EAR) if the Annual Percentage Rate (APR) is 15% compounded monthly? Select one: a.16.08% b.15.7% c.15% d.16.55%