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You invested $3,000 in the stock market one year ago. Today, the investment is valued at...

You invested $3,000 in the stock market one year ago. Today, the investment is valued at $3,450. What return did you earn? (Negative answer should be indicated by a minus sign. Do not round intermediate calculations.) What return would you suffer next year for your investment to be valued at the original $3,000? (Negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)

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Answer #1

Calculating Rate of Return,

3,450 = 3,000(1 + r)

r = 15.00%

Rate of Return = 15.00%

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