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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
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 the inflation over the period was 4%, his _______________. Note: (1+R) = (1+r)(1+h), but you dont need calculation here.
A. real return on investment is more than 15% | |
B. nominal return on investment is more than 15% | |
C. nominal return on investment is 11% | |
D. real return on investment is equal to 4% |
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