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Which type of investment offers both capital gains and interest income?
OA
property
OB.
CDs
C. stocks
OD
bonds
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Which type of investment offers both capital gains and interest income

2 Answers

2 votes

Question:

Compare the capital gains from investing in the three stocks with the interest income on a one-year CD. Which would have been a more profitable investment—the stocks or a one-year CD? Explain your reasoning.

Answer:

The one-year CD rate during the past year ranged from 1 percent to 1.3 percent. This rate of return is much lower than the returns on the J C Penney and Apple stocks. Therefore, these two stocks would have been better investment options than a one-year CD. However, the CD would be a better investment than the Ford Motor Company stock, which gave a negative return over the past year.

Explanation: edmentum sample answer

User Sebest
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3 votes

Answer:

Stocks is the type of investments that offers both capital gains and interest income.

User Dickster
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