Assume that at the beginning of the year, you purchase an investment for $5,450 that pays $76 annual income. Also assume that the investment's value has decreased to $5,250 at the end of the year. a. What is the rate of return for this investment? b. Is the rate of return a positive or a negative number? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the rate of return for this investment? Note: Enter your answer as a percent rounded to 2 decimal places. Input the amount as a positive value. Rate of return % < Required 1 Required 2 >
Assume that at the beginning of the year, you purchase an investment for $5,450 that pays $76 annual income. Also assume that the investment's value has decreased to $5,250 at the end of the year. a. What is the rate of return for this investment? b. Is the rate of return a positive or a negative number? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the rate of return for this investment? Note: Enter your answer as a percent rounded to 2 decimal places. Input the amount as a positive value. Rate of return % < Required 1 Required 2 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Assume that at the beginning of the year, you purchase an investment for $5,450 that pays $76 annual income. Also assume that the
investment's value has decreased to $5,250 at the end of the year.
a. What is the rate of return for this investment?
b. Is the rate of return a positive or a negative number?
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
What is the rate of return for this investment?
Note: Enter your answer as a percent rounded to 2 decimal places. Input the amount as a positive value.
Rate of return
%
< Required 1
Required 2
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