The simple arithmetic average return for the common stock of Saltwater Expeditions Incorporated for the eight-year period from 2005 through 2012 was 21 percent.The one-year holding period returns from 2005 through 2011 are given below.What is the implied one-year holding period return for 2012?
A) 21.4%
B) 24.4%
C) 3.0%
D) 13.0%
E) −3.0%

Question

The simple arithmetic average return for the common stock of Saltwater Expeditions Incorporated for the eight-year period from 2005 through 2012 was 21 percent.The one-year holding period returns from 2005 through 2011 are given below.What is the implied one-year holding period return for 2012? 
A) 21.4% 
B) 24.4% 
C) 3.0% 
D) 13.0% 
E) −3.0%

Quizplus · Accepted Answer

The Answer of The simple arithmetic average return for the common stock of Saltwater Expeditions Incorporated for the eight-year period from 2005 through 2012 was 21 percent.The one-year holding period returns from 2005 through 2011 are given below.What is the implied one-year holding period return for 2012? 
A) 21.4% 
B) 24.4% 
C) 3.0% 
D) 13.0% 
E) −3.0%

The Simple Arithmetic Average Return for the Common Stock of Saltwater