Will Has Been Purchasing $25,000 Worth of New Tek Stock

question 80

Multiple Choice

Will has been purchasing $25,000 worth of New Tek stock annually for the past 15 years.His holdings are now worth $598,100.What is his annual rate of return on this stock?

• A)6.13 percent
• B)6.24 percent
• C)6.29 percent
• D)6.32 percent
• E)6.36 percent

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Definitions:

Debt Securities

Financial instruments representing a loan made by an investor to a borrower, typically including bonds, notes, and bills.

Conservative Approach

A financial strategy that opts for lower risk investment options to preserve capital and ensure long-term security.

Trading Securities Portfolio

A portfolio of securities that the holder actively manages and buys or sells with the intention of profiting in the short term.

Cash Proceeds

The total amount of cash received from transactions, such as the sale of assets or products.