Question
1. Assume that at the beginning of the year, you purchase an investment for $5600 that pays $125 annual income.also assume the investments value increased
1. Assume that at the beginning of the year, you purchase an investment for $5600 that pays $125 annual income.also assume the investments value increased to $5900 by the end of the year.
1. What is the rate of return for this investment?
2.Is the rate of return a positive or negative number?
2. Assume that at the beginning of the year, you purchase an investment for $5100 that pays $100 annual income. Also assume the investments value has decreased to $4700 by the end of the year.
1. What is the rate of return for this investment?
2.Is the rate of return a positive or negative number?
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Entrepreneurial Finance
Authors: J. Chris Leach, Ronald W. Melicher
5th edition
1285425758, 978-1305333468, 1305333462, 978-1285425757
