Pat Invested in Her Employer's Stock Program in 1981

question 44

Multiple Choice

Pat invested in her employer's stock program in 1981. The annual yield for her investment was 6.5%, but the inflation rate was 7.8%. What was the real growth rate of this investment?

• A) −1.21%
• B) −2.09%
• C) −3.30%
• D) −4.41%

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Definitions:

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Relating to the law or the practice of law.

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Ideas, customs, or practices transmitted from generation to generation, often without change.

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The organization of individuals or groups in a society into levels of power, status, or priority, often based on factors like wealth, occupation, or social connections.

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