Time-Weighted Rate of Return why, raised, placed, please, someone

suxiaoxiao

On Example 4 of page 225, pertaining to the Strubeck Corporation, why aren't the finally figures placed into the formula as should. Shouldn't (1.20)(1.05)(1.12)(.90) be raised to the 1/4? I need someone to please clear this up.

suyash1989

Please paste the example if it is not too much typing. Sorry.

thisisbrianly

My apologies, I normally would. But it is a tremendous amount of data because it is a four quarter chart with eights rows of data.

btcapital

Sorry about that levista. I will take a look when I am sitting by my desk next.

waldziuchna

Hey there,

The returns data presented are for four QUARTERS. You would only raise (1.20)(1.05)(1.12)(.90) to the power 1/4 if this were annual returns data.