Multiple Choice
George bought an investment one year ago and just calculated his return on investment. He found that his purchasing power has increased by 15% as a result of his investment. If inflation over the
Period was 4%, his _________________.
A) real return on investment is more than 15%
B) nominal return on investment is more than 15%
C) nominal return on investment is less than 11%
D) real return on investment is equal to 4%
E) ability to purchase goods has declined over the past year
Correct Answer:
Verified
Correct Answer:
Verified
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