Q1. stock increased in value last year. Which will be greater, its continuously compounded or its holding period return? A) Neither, they will be equal. B) Its continuously compounded return. C) Its holding period return.
Q2. Over a period of one year, an investor’s portfolio has declined in value from 127,350 to 108,427. What is the continuously compounded rate of return?
A) -16.09%. B) -13.84%. C) -14.86%.
Q3. If a stock decreases in one period and then increases by an equal dollar amount in the next period, will the respective arithmetic average of the continuously compounded and holding period rates of return be positive, negative, or zero? A) Zero; zero. B) Positive; zero. C) Zero; positive.
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发表于 2009-1-9 10:43
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