Average Return The past five monthly returns for PG Company are 1.25 percent,-1.50 percent,4.25 percent,3.75 percent,and 1.98 percent.What is the average monthly return?
A)1.946 percent
B)2.546 percent
C)9.73 percent
D)12.73 percent

Question

Quizplus · Accepted Answer

To calculate the average monthly return, we need to sum up all the monthly returns and divide the total by the number of months (in this case, 5). So, the calculation is:

(1.25 - 1.50 + 4.25 + 3.75 + 1.98) ÷ 5 = 2.546

Therefore, the average monthly return is 2.546 percent. The best choice is A, as it is the correct answer.

Average Return the Past Five Monthly Returns for PG Company