Investment returns
A) are always positive.
B) are only received when an asset is sold.
C) are only received when there is a stream of multiple payments generated by the asset.
D) can be received either through the sale of an asset or as a stream of payments.

Question

Quizplus · Accepted Answer

Investment returns can be received either through the sale of an asset or as a stream of payments. For example, a stock can appreciate in value and provide a return when sold, or it may pay dividends over time that provide a return. Real estate can appreciate in value and provide a return when sold, or it may generate rental income, which is a stream of payments. Therefore, option D is the correct choice.

Investment Returns