Which mean is typically used when calculating returns over multiple periods.
Answer
Geometric mean
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Subject 4. Measures of Center Tendency f the data set is zero or negative. If values in the data set are all equal, both the arithmetic and geometric means will be equal to that value. It is always less than the arithmetic mean if values in the data set are not equal.
<span>It is typically used when calculating returns over multiple periods. It is a better measure of the compound growth rate of an investment. When returns are variable by period, the geometric mean will always be less than the arithmetic mean. The more dispe
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