Although appealing to more refined tastes, art as a collectible has not always performed so profitably. during 2003, sotheby’s sold the edgar degas bronze sculpture petite danseuse de quatorze ans at auction for a price of $10,311,500. unfortunately for the previous owner, he had purchased it in 1999 at a price of $12,377,500. what was his annual rate of return on this sculpture? (a negative answer should be indicated by a minus sign. do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.)

His annual rate of return on this sculpture is -4.46%.

Explanation:

let PV be the amount invested and after t periods it turns to be FV

FV = PV(1+r)^t

(1+r)^t = FV/PV

1 + r = (FV/PV)^(1/t)

r = (FV/PV)^(1/t) - 1

t is the number of years from 1999 to 2003, t = 2003 - 1999 = 4 years

FV = $10,311,500

PV = $12,377,500

  r = ($10,311,500/$12,377,500)^(1/4) - 1

  r = -0.0446

therefore, His annual rate of return on this sculpture is -4.46%.

enlightenment impacted society by introducing the idea that mankind could use reason to discover the laws of the world and the rights of mankind. these ideals affected all factions of society, from politics to religion.