Your good friend Megan is starting a new business and you decide to invest with $20,000. If you get back $2,000, what is your rate of return?

Name: Your good friend Megan is starting a new business and you decide to invest with $20,000. If you get back $2,000, what is your rate of return?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The rate of return is calculated by dividing the profit ($2,000) by the initial investment ($20,000) and then multiplying by 100 to get a percentage. So, $2,000 / $20,000 = 0.1, and 0.1 * 100 = 10%.

Your Good Friend Megan Is Starting a New Business and You