Over a 20-Year Period an Investment of $1,000 in Common

question 55

Multiple Choice

Over a 20-year period an investment of $1,000 in common stocks returned an average of 11% in nominal terms and 4% in real terms.At the end of the 20 years,the portfolio value was:

• A) $1,800 in real terms.
• B) $3,679.19 in real terms.
• C) $7,870.59 in nominal terms.
• D) $8,062.31 in nominal terms.

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Definitions:

South Vietnamese

South Vietnamese refers to the people, culture, and former government of South Vietnam, known officially as the Republic of Vietnam, a country that existed from 1955 to 1975, during the Vietnam War era.

Paris Peace Accords

Agreements signed in 1973 to establish peace in Vietnam and end the Vietnam War, involving the US, North Vietnam, South Vietnam, and the Viet Cong.

American Participation

The involvement of the United States in international or domestic events, ranging from wars to political movements.

Vietnam War

A prolonged conflict from the 1950s to the 1975 between North Vietnam (supported by its communist allies) and South Vietnam (supported by the United States and other anti-communist countries), resulting in significant political and social upheaval.