What Annual Rate of Return Is Earned on a $13,000

question 38

Multiple Choice

What annual rate of return is earned on a $13,000 investment made in year 2 when it grows to $17,000 by the end of year 7?

• A) 10.64 percent
• B) 4.28 percent
• C) 8.04 percent
• D) 5.51 percent

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Definitions:

Cocaine

A powerful stimulant drug derived from the leaves of the coca plant, often abused for its euphoric effects.

Heroin

An opioid drug made from morphine, known for its high potential for addiction and serious health risks.

LSD

Lysergic acid diethylamide, a psychedelic drug known for its psychological effects, including altered thinking processes and perceptions.

Legal Drugs

Substances that are legally available for consumption, including alcohol, nicotine, and prescription medications.