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Calculating average rate of return of a stock

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Spill Oil Company's stocks had -8%, 11% and 24% rates of return during the last three years respectively; calculate the average rate of return for the stock.

A. 8% per year
B. 9% per year
C. 11% per year
D. None of the above

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Solution Summary

This solution illustrates how to compute the average return on a stock.

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