What Nominal Annual Return Is Required on an Investment for an Investor

question 50

Multiple Choice

What nominal annual return is required on an investment for an investor to experience a 12% gain in purchasing power? Assume inflation to be 4%.

• A) 7.69%
• B) 9.29%
• C) 12.00%
• D) 16.48%

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Definitions:

Complementary Nucleotide

A nucleotide that pairs with another nucleotide in the DNA double helix or RNA molecule, following the base pairing rules (A-T or A-U, and G-C).

Oncogenes

Genes that have the potential to cause cancer by driving cell growth and division at an abnormal pace, often resulting from a mutation of normal genes called proto-oncogenes.

Carcinogens

Substances or exposures that can lead to cancer.

p53 Gene

A tumor suppressor gene that plays a crucial role in controlling cell division and apoptosis, often mutated in cancer cells.