What Nominal Return Would an Investor Need to Receive If

question 71

Multiple Choice

What nominal return would an investor need to receive if he desires a real return of 4% and the rate of inflation is 5%?

• A) 4.20%
• B) 8.64%
• C) 9.00%
• D) 9.20%

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Definitions:

Neurons

Specialized cells of the nervous system that transmit information to other neurons, muscles, or gland cells.

Temperature

A measure of the thermal energy within a body or environment, typically expressed in degrees Celsius or Fahrenheit.

Head-sparing

A phenomenon observed during early infancy in which the body prioritizes nutritional resources for brain development, even under conditions of malnutrition or weight loss.

Malnutrition

A condition that results from eating a diet in which one or more nutrients are either not enough or are too much, leading to health problems.