Question

a. What is the arithmetic average of 5%, 10%, -8% (that's negative 8), and 20%? b. What is the geometric average? 

          a. What is the arithmetic average of 5%, 10%, -8% (that's negative 8), and 20%?
    b. What is the geometric average?

Added by Victor Manuel W.

Horngren’s Cost Accounting
Horngren’s Cost Accounting
Srikant M. Datar, Madhav V. Rajan 16th Edition
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a. What is the arithmetic average of 5%, 10%, -8% (that's negative 8), and 20%? b. What is the geometric average?
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Transcript

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00:01 Arithmetic and geometric average of these four numbers.
00:03 For arithmetic we're going to add them all together.
00:06 So i'm going to have 15, 35, they'll add to be 27.
00:10 We're going to divide this by 4.
00:14 So when i divide this by 4 i'm going to get a total of 6, 24, 3, 6, and 3 fourths would be my arithmetic mean.
00:24 Now when we do the geometric mean we multiply them together...
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