Question

The rate of return is the _____.

a) interest you earn from stock.
b) the money that is returned to you when you sell an investment.
c) percentage that shows how much gain or loss an investment makes.
d) a number that lets you know how risky an investment is?

Answer 1

C) percentage that shows how much gain or loss an investment makes.

:3

Answer 2

c) percentage that shows how much gain or loss an investment makes.

Step-by-step explanation:

The formula to compute the rate of return is shown below:

= (Current value - original investment) ÷ (original investment) × 100

The rate of return is always expressed in percentage form.

The rate of return represents the gain or loss with respect to the initial investment made over the specified period of time.

The difference of the amount comes in numerator side and initial investment comes in denominator side