Question

compute the geometric mean for that column. Subtract one and you have the geometric mean return.

Date Price

1-Jan-17 2,275.32

1-Jan-16 1,918.60

1-Jan-15 2,028.18

1-Jan-14 1,822.36

1-Jan-13 1,480.40

1-Jan-12 1,300.58

1-Jan-11 1,282.62

1-Jan-10 1,123.58

1-Jan-09 865.58

1-Jan-08 1,378.76

1-Jan-07 1,424.1

Answer 1

		% return	Calculation		Calculation
1-Jan-07	1,424.10		(Present year-Previous Year)/Previous Year *100		1+growth % obtained
1-Jan-08	1,378.76	-3.18%	((1378.76-1424.10)/1424.10)*100	96.82%	1+(-3.18%)
1-Jan-09	865.58	-37.22%		62.78%
1-Jan-10	1,123.58	29.81%		129.81%
1-Jan-11	1,282.62	14.15%		114.15%
1-Jan-12	1,300.58	1.40%		101.40%
1-Jan-13	1,480.40	13.83%		113.83%
1-Jan-14	1,822.36	23.10%		123.10%
1-Jan-15	2,028.18	11.29%		111.29%
1-Jan-16	1,918.60	-5.40%		94.60%
1-Jan-17	2,275.32	18.59%		118.59%
		GEOMEAN	(used geomean formula)	104.80%
		GEOMEAN RETURN	(104.8%-1)	4.80%

1 was added to the % return because in excel while computing the geo mean it only considers the positive values.