Angie Owns a Portfolio Which Has an Expected Annual Return

question 51

Multiple Choice

Angie owns a portfolio which has an expected annual return of 14.55 percent. What is the two-year expected return on her portfolio?

• A) 13.80 percent
• B) 19.52 percent
• C) 23.40 percent
• D) 27.60 percent
• E) 29.10 percent

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Definitions:

Afford

The ability of an individual or organization to manage financial expenditure on goods, services, or investments without undue hardship.

Purchase Decision Process

The stages a consumer goes through in deciding to buy a product or service, including recognition of need, information search, evaluation of alternatives, purchase, and post-purchase evaluation.

Advertisements

Public notices or announcements, typically promoting a product, service, or event, through various media channels.

Salespeople

Individuals who are employed to sell products or services to customers, using various techniques to persuade potential buyers and close sales.