Calculate their continuously compounded return to investory

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Question - Consider the end of day prices for Wesfarmer (WES) for Monday through Thursday.

Day

WES price (end of day)

Monday

$22.00

Tuesday

$24.80

Wednesday

$25.90

Thursday

$26.00

Suppose an investor short sells WES (sell on Monday and buy back on Thursday) over this period, calculate their continuously compounded return to the investor.

Reference no: EM132799132

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