A stock had returns of 15.47 percent, 22.38 percent, −8.49 percent, and 9.42 percent over four of the past five years. The arithmetic average return over the five years was 12.68 percent. What was the stock return for the missing year? a. 22.16% b. 19.70% c. 11.94% d. 24.62% e. 7.64%

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
Problem 17P
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A stock had returns of 15.47 percent, 22.38 percent, −8.49 percent, and 9.42 percent over four of the past five years. The arithmetic average return over the five years was 12.68 percent. What was the stock return for the missing year?

a. 22.16%

b. 19.70%

c. 11.94%

d. 24.62%

e. 7.64% 

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