What Is Another Way to Express a ROI of 1

question 6

Multiple Choice

What is another way to express a ROI of 1.0?

• A) 10 percent
• B) 100 percent
• C) 1.0 percent
• D) 1,000 percent

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Definitions:

Yield

The income return on an investment, such as the interest or dividends received, usually expressed as an annual percentage of the investment's cost.

Zero-Coupon Bond

A bond that is sold at a discount and does not pay interest but is redeemed at its full face value at maturity.

Purchase Price

The amount paid to buy an asset or security, which can influence the investment's potential return and tax implications.

Face Value

The nominal or dollar value printed on a security or bond, representing the amount the issuer promises to pay at maturity.