Question

businessperson invested $ 5,000 in stock market, after 3 years, he sold it for $ 20,000. What is the rate of return of his investment?

Answer 1

Answer:

Take the selling price and subtract it from the initial purchase price. The result is the gain or loss. Take the gain or loss from the investment and divide it by the original amount or purchase price of the investment. Finally, multiply the result by 100 to arrive at the percentage change in the investment.