Determine what the investors actual dollar-weighted average

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Suppose that an investor opens an account by investing $1,000. At the beginning of each of the next four years, he deposits an additional $1,000 each year, and he then liquidates the account at the end of the total five-year period.

Suppose that the yearly returns in this account, beginning in year 1, are as follows: -9 percent, 17 percent, 9 percent, 14 percent, and -4 percent.

Determine what the investor's actual dollar-weighted average return was for this five-year period.

Reference no: EM132012750

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