Question

Compute the total and annual returns on the following investment. Eighteen years after purchasing shares in a mutual fund for $6000, the shares are sold for $11,200. The the total return is 86.6 %. (Do not round until the final answer. Then round to one decimal place as needed.) The annual return is %. (Do not round until the final answer. Then round to one decimal place as needed.)

          Compute the total and annual returns on the following investment.
Eighteen years after purchasing shares in a mutual fund for $6000, the shares are sold for $11,200.

The the total return is 86.6 %.
(Do not round until the final answer. Then round to one decimal place as needed.)
The annual return is %.
(Do not round until the final answer. Then round to one decimal place as needed.)

Compute the total and annual returns on the following investment.
Eighteen years after purchasing shares in a mutual fund for 6000, the shares are sold for11,200.

The the total return is 86.6 %.
(Do not round until the final answer. Then round to one decimal place as needed.)
The annual return is %.
(Do not round until the final answer. Then round to one decimal place as needed.)

Added by Isabella L.

Beginning and Intermediate Algebra

Sherri Messersmith 2nd Edition

Chapter 14

Instant Answer

Solved by Expert Donna Densmore

04/13/2024

Step 1

The total return is the final value of the investment minus the initial value of the investment, divided by the initial value of the investment, and then multiplied by 100 to get a percentage. In this case, the total return is \((\$11,200 - \$6,000) / \$6,000 * Show more…

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