If the current inflation rate is 3.6% and you have an investment opportunity that pays 10.9%, then the real rate of interest on your investment is closest to ________

A) 8.5%
B) 9.9%
C) 11.3%
D) 7.0%

Answer: D

Business

You might also like to view...

Ewan Logistics provides the following information

Operating income $1,500,000 Net sales $14,500,000 Average total assets $1,950,000 Management's target rate of return 20% What is the company's residual income? A) $(450,000 ) B) $390,000 C) $1,650,000 D) $1,110,000

Business

When the customers become active participants in the innovation process, it is known as:

A) democratizing. B) multilearning. C) customerization. D) co-creation.

Business