Fred Made the Following Rates of Return on His Portfolio

question 42

Multiple Choice

Fred made the following rates of return on his portfolio over the past five years. The T-Bill rate and the inflation rate for each year are also shown. Based on this information, in which year did Fred
Have the highest real rate of return?

• A) Year 1
• B) Year 2
• C) Year 3
• D) Year 4
• E) Year 5

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Definitions:

Utility

The total satisfaction or value derived from consuming goods or services, often considered in economic decisions and analyses.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values.

Training Program

A structured plan designed to increase the knowledge, skills, and capabilities of individuals or groups.

Employee Grievances

Complaints or disputes raised by employees with management concerning workplace conditions, policies, or their treatment.