Multiple Choice
Sarah earned a 3.3 percent real rate of return on her investments for the past year.During that time, the risk-free rate was 3.6 percent and the inflation rate was 3.1 percent.What was her nominal rate of return?
A) 5.30 percent
B) 6.06 percent
C) 6.50 percent
D) 6.67 percent
E) 6.91 percent
Correct Answer:
Verified
Correct Answer:
Verified
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