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An Investment of $1 Each in Two Different Securities Led

Question 59

Multiple Choice

An investment of $1 each in two different securities led to a value of $10 (Security A) and $20 (Security B) , respectively, after 15 years. When comparing the rate of return earned by the two securities, it can be said that


A) Security B earned a higher average annual rate of return.
B) Security A earned a higher average annual rate of return.
C) both securities earned the same average annual rate of return.
D) it is impossible to calculate the securities rates of return based on this information.

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