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A manager buys three shares of stock today, and sells one of those shares each year for the next 3 years. His actions and the price history of the stock are summerized below. The stock pays no dividends.

 

     Time       Price            Action

        0            $130           Buy 3 shares

        1              150           Sell 1 share

        2              150           Sell 1 share

        3              150           sell 1 share

 

  A. Calculate the time-weighted geomatric average return on this portfolio. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

 

  Geometric Average return: ___________%

 

 

B. Calculate the time-weighted arithmatic average return on this portfolio.(Do not round intermediate calculations. Round your answer to 2 decimal places.)

 

    Arithmatic average return___________%

 

C. Calculate the dollar-weighted avererage return on this portfolio. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

 

     Dollar-weighted average return__________%