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You are choosing between three 1-year investments: one in Indonesia, one in Vietnam, and one in Japan. The investment in Indonesia yields a nominal rate
You are choosing between three 1-year investments: one in Indonesia, one in Vietnam, and one in Japan. The investment in Indonesia yields a nominal rate of 9% APR compounded daily, and the daily inflation in Indonesia is expected to be 0.006%. The investment in Vietnam promises a real rate of 6.9% APR compounded monthly. The investment in Japan yields a nominal rate of 6.8% APR compounded quarterly, and the quarterly inflation in Japan is expected to be 0%. Which investment delivers the highest real rate of return? OA. Indonesia: 14.3%; Vietnam: 6.1%; Japan: 6.15 %; Answer: Indonesia B. Indonesia: 7.05% ; Vietnam: 7.12% ; Japan : 6.98%; Answer: Vietnam OC. Indonesia: 9%; Thailand : 6.9%; Japan : 6.8%; Answer: Indonesia D. Indonesia: 3.55%; Vietnam: 3.75 %; Japan : 4.2%; Answer: Japan F Indonesia: 9.42%; Vietnam: 6.9%; Japan: 7%; Answer: Indonesia
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