You currently manage Cody’s investment portfolio. He provided you with the following information for the beginning and the end of the year:

Which of the following statements is correct?

a. The return on investments ratio is within the normal range.

b. The return on the IRA ratio is 10%.

c. The return on net worth ratio is 3.5%.

d. The return on investments, return on IRA, and return on net worth ratios are all within the normal range.

Transcribed Image Text:

Investment Balance (beginning of the year) - $100,000 Investment Balance (end of the year) - $115,000 IRA Balance (beginning of the year) - $75,000 IRA Balance (end of the year) - $82,000 Net Worth (beginning of the year) - $1,000,000 Net Worth (end of the year) - $970,000 Annual Savings to IRA - $5,000