If the Current Price of an Investment Increases,what Affect Does

question 65

Multiple Choice

If the current price of an investment increases,what affect does the price increase have on approximate yield?

• A) Moderately increase yield
• B) Decrease yield
• C) Will not affect the yield
• D) Drastically increase yield
• E) None of the above

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Definitions:

Net Profit Margin Percentage

A financial ratio that shows what percentage of sales has turned into profits, indicating overall profitability.

Gross Margin Percentage

A financial metric that represents the difference between sales and cost of goods sold, expressed as a percentage of sales.

Year 2

The second year in a sequence, often used in financial and operational planning or analysis.

Debt-to-Equity Ratio

A measure of a company's financial leverage calculated by dividing its total liabilities by shareholders' equity; it indicates the proportion of equity and debt the company is using to finance its assets.