Savers generally compare
A)the nominal rates of return on assets.
B)the real rates of return on assets.
C)the real after-tax rates of return on assets.
D)the nominal after-tax rates of return on assets.

Question

Quizplus · Accepted Answer

Savers are generally more concerned with the real after-tax rates of return on assets. This is because inflation and taxes can significantly reduce the purchasing power of the returns earned on their savings. Therefore, comparing the real after-tax rates of return allows savers to determine the true value of their investments.

Savers Generally Compare