The average compound return earned per year over a multi-year period is known as the:

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1 answer:

Sav [38]1 year ago

4 0

The average compound return earned per year over a multi-year period is known as the geometric average return.

<h3>What is an Average Return?</h3>

An average return is a mathematical average value of a number of returns generated over a specific period of time. An average return helps in measuring the past performance or portfolio of an individual or government.

When an average compound return is earned per year over a multi-year period, then it is known as the geometric return of that individual or government.

Learn more about an Average Return here:

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Please check the attached image for a graph showing these shifts

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