Problem:
Your portfolio has provided you with returns of 8.6 percent, 14.2 percent, -3.7 percent, and 11.4 percent over the past four years, respectively.
Required:
Question: What is the geometric average return for this period?
A) 7.25 percent
B) 7.40 percent
C) 7.57 percent
D) 7.63 percent
E) 7.78 percent
Note: Provide support for rationale.