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CUET · MATHS · PYQ PAPER 2025

Which of the following is correct about the compound annual growth rate?

  1. A It is an average annualized return of an investment.
  2. B It is calculated by taking the arithmetic mean of series of returns.
  3. C It is a linear measure that does not account for the effects of compounding.
  4. D It smoothens out the volatile nature of year by year growth/decay rates and provides more accurate results.
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Correct Answer

(A) It is an average annualized return of an investment.

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It is an average annualized return of an investment.
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