Return relatives are calculated primarily to deal with the potential problem of
A) changing returns
B) large returns
C) zero returns
D) negative returns

Name: Return relatives are calculated primarily to deal with the potential problem of A) changing returns B) large returns C) zero returns D) negative returns
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Question

Quizplus · Accepted Answer

Return relatives are used to handle negative returns by converting them into a multiplicative form, which avoids issues with adding or averaging negative numbers.

Return Relatives Are Calculated Primarily to Deal with the Potential