since toni brookfield is retired, she has used income from her investment in the alger mid cap growth fund to supplement her other retirement income. during one three-month period, the fund grew by $8,000. if she withdraws 55 percent of the growth, how much will she receive?

Respuesta :

$7,700 will be given to her. Reason: It will receive $7,700 because it has deducted $55% of the growth on its investment, which was worth $14,000.

What is a investment?

A purchase made with the intention of creating income or capital growth is known as an investment. An asset's value increasing over time is referred to as appreciation. When a person invests in a good, they do not intend to utilise it as a source of immediate consumption, but rather as a tool for future wealth creation. Investing is a successful approach to use your money and possibly increase your fortune. Your money may grow in value and outpace inflation if you make wise investment decisions. The power of compounding and the trade-off between risk and return are the main reasons investment has a higher growth potential.

Hence, $7,700 will be given to her. Reason: It will receive $7,700 because it has deducted $55% of the growth on its investment, which was worth $14,000.

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