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How to Calculate the Arithmetic Mean . To calculate a 14-day moving average for a stock, simply add up its closing price for the past 14 days and then divide that sum by 14.
As a mathematical rule, the geometric mean will always be equal to or less than the arithmetic mean. However, the true return is as follows: Year 1: $100 x 1.10 = $110.00 ...
Arithmetic mean, the most common, is the sum of all values given divided by the count of all values. Related: Mode Formula: How to Calculate, Examples with Solution Mean Formula ...