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

The answer is C. percentage that shows how much gain or loss an investment makes

Answer 2

The rate of return (RoR) is the percentage that shows how much gain or loss an investment makes. Correct answer: C

The gain or loss of an investment over a period of time is compared to the initial cost of the investment expressed as a percentage. The riskier the venture, the higher the expected rate of return.