Question If the nominal rate of return is 8% and the real rate of return is supposed to be 2%, what is the approximate inflation rate? 1) 6% 2) 8% 3) 1.6% 4) 10% Question At the beginning of the year an investor purchased 100 shares of common stock from ABC Corporation at $10 per share. During the year, the firm paid dividends of $1 per share. At the end of the year, the investor sold the 100 shares at $11 per share. What is the Holding period return? 1) 1.20% 2) 5.50% 3) 12.00% 4) 20.00% 5) 30.00%