The Real Rate of Return on a Stock Is Approximately

question 143

Multiple Choice

The real rate of return on a stock is approximately equal to the nominal rate of return:

• A) Multiplied by (1 + inflation rate).
• B) Plus the inflation rate.
• C) Minus the inflation rate.
• D) Divided by (1 + inflation rate).
• E) Divided by (1 - inflation rate).

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