Blume's formula is used to:
A) predict future rates of return.
B) convert an arithmetic average return into a geometric average return.
C) convert a geometric average return into an arithmetic average return.
D) measure past performance in a consistent manner.
E) compute the historical mean return over a multi-year period of time.

Question

Quizplus · Accepted Answer

The Answer of Blume's formula is used to:
A) predict future rates of return.
B) convert an arithmetic average return into a geometric average return.
C) convert a geometric average return into an arithmetic average return.
D) measure past performance in a consistent manner.
E) compute the historical mean return over a multi-year period of time.

Blume's Formula Is Used To