Geometric Mean Return Formula 3 1 r1 1 r2 1 r3 1 3 1 0 1 0 1 0 1 0 Geometric Mean Return Formula in Excel with excel template. The final expression represents the geometric average of r 1 and r 2. The long-hand calculation would be.
Geometric Mean Return Formula 3 1 r1 1 r2 1 r3 1 3 1 0 1 0 1 0 1 0 Geometric Mean Return Formula in Excel with excel template.
HttpspeoplehighlineedumgirvinAllClasses348348AllFilesBI348Analyticshtm Learn1 0012 Intro to Geometric Mean2 0052 Formula. Using the geometric average return formula the rate is actually 595 and not 6 as stated by the arithmetic mean return method. The arithmetic mean of 25 would be misleading. The long-hand calculation would be.