You open an account where you deposit $500 today. Further, you deposit $800 at the beginning of next year, withdraw $250

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899603
Joined: Mon Aug 02, 2021 8:13 am

You open an account where you deposit $500 today. Further, you deposit $800 at the beginning of next year, withdraw $250

Post by answerhappygod »

You open an account where you deposit $500 today. Further, you
deposit $800 at the beginning of next year, withdraw $250 at the
beginning of year two and deposit $450 at the beginning of year 3.
The return for year 1 is 6%, for year 2 it is -8%, for year 3 it is
4.5% and for year 4 it is -2%. What is your dollar-weighted or
money-weighted return (in percent) for the four-year
period? Answer to two decimals.
Group of answer choices
-1.45
-6.95
-11.92
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Post Reply