select the correct answer from each drop - down menu. the on an investment doesnt consider the effect of…

select the correct answer from each drop - down menu. the on an investment doesnt consider the effect of inflation on purchasing power. if the inflation rate is positive, the real return the nominal return on an investment. nominal return real return reset next

select the correct answer from each drop - down menu. the on an investment doesnt consider the effect of inflation on purchasing power. if the inflation rate is positive, the real return the nominal return on an investment. nominal return real return reset next

Answer

Brief Explanations:

The nominal return on an investment is the raw return without accounting for inflation. When inflation is positive, the real return (which accounts for inflation) is lower than the nominal return as inflation erodes purchasing - power.

Answer:

First drop - down: nominal return Second drop - down: is less than