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If Planned Investment Is $50 Billion and Unplanned Inventory Investment

question 125

True/False

If planned investment is $50 billion and unplanned inventory investment is $10 billion,then actual investment is $40 billion.


Definitions:

Rate Of Return

The gain or loss on an investment over a specified time period, expressed as a percentage of the investment’s initial cost.

Effective Annual Rate

The annual interest rate that takes into account the effects of compounding over multiple periods.

Effective Rate

Reflects the total interest payable on a loan or investment, taking into account compounding interest, over a specific period.

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