Trade Tester- How Annualized Returns are calculated

Hi, I am trying to figure out how annualized returns are calculated on the “report” page in the Trade Tester. The reason I want to understand the calculation is that I want to know if I can rely on the “annualized return” on the report to analyze the best strategy of multiple scripts with different sell rules. For example, If I have a buy strategy with an 80 day period and no sell strategy and another strategy with an buy and sell strategy over 80 days, will the annualized return normalize the two strategies by factoring in that the strategy with a sell strategy will free up some funds before the 80 days expire. So, I am trying to get comfortable with using annualized return to compare mulitiple strategies in the Signal Tester and Trade Tester. Thank you!