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The Economic Rate of Return on an Asset Is Defined

Question 44

Multiple Choice

The economic rate of return on an asset is defined as

A) [(C1 + PV₁ - PV₀) ]/(PV₀) .
B) [(C1 - (PV₁ - PV₀) ]/(PV₀) .
C) [(C1 + PV₁) ]/(PV₀) .
D) [(C1 + PV₀) ]/(PV₁) .

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