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George bought an investment one year ago and just calculated his return on investment. He found that his purchasing power has increased by 15% as a result of his investment. If the inflation over the period was 4%, his _______________.
Note: (1+R) = (1+r)(1+h), but you don’t need calculation here.
A. real return on investment is more than 15%
B. nominal return on investment is more than 15%
C. nominal return on investment is more than 15%
D. real return on investment is equal to 4%
A project has the following estimated data: price = $66 per unit; variable costs = $43 per unit; fixed costs = $16,500; required return = 8 percent; initial investment = $25,000; life = five years. What is the accounting break-even quantity? What is ..
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