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What is the effective annual rate of return on each

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Problem (a) The S&P/ASX200 price index opened the year at 7,200 and was at 7,683 by the end of the year. The S&P/ASX Small Ordinaries index went from 2,800 to 3,222 over the same period. What is the effective annual rate of return on each of these indices? Explain the difference in information provided by these two indices.

Reference no: EM132977237

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