What is the arithmetic mean and geometric mean

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Steven has an investment with the following annual returns for four years:

o Year 1: 9.5%

o Year 2: -3%

o Year 3: 5%

o Year 4: 11%

What is the Arithmetic Mean (AM) and what is the Geometric Mean (GM)?

AM = 5.75%, GM = 5.48%.

AM = 5.75%, GM = 6.21%.

AM = 5.63%, GM = 5.48%.

AM = 5.63%, GM = 6.21%.

Reference no: EM132022785

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