If an Investor Is Prepared to Pay $600 for an Asset

question 7

Multiple Choice

If an investor is prepared to pay $600 for an asset that returns $700 at the end of two years,what annual rate of return is the investor receiving?

• A)16.7%
• B)$100
• C)8%
• D)8.3%

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Definitions:

Interest Inventory

A psychological assessment tool used to identify and evaluate an individual's preferences, interests, and passions to guide career planning and development.

Skill Survey

An assessment tool used to gather information about individuals' abilities or competencies in various areas of expertise.

Special Aptitude Test

Tests designed to measure specific talents or potential capabilities in particular areas or fields, such as music, art, or mathematics.

Group Test

A group test is an assessment administered to multiple individuals simultaneously, often used in educational settings or for large-scale standardization testing.