g Therefore, smart investing involves attempting to earn a positive total return, which is the income that an investment generates from a combination of current income and capital gains. is the money received while you own an investment. By contrast, is the increase in the value of an investment when you actually sell the investment.

Question

Business

Mason Pratt

5 July, 07:56

g Therefore, smart investing involves attempting to earn a positive total return, which is the income that an investment generates from a combination of current income and capital gains. is the money received while you own an investment. By contrast, is the increase in the value of an investment when you actually sell the investment.

+4

Answers (1)

Know the Answer?

Arnav Hopkins · Answer 1

By contrast, is the increase in the value of an investment when you actually sell the investment.

Explanation:

Remember, the key word is to earn a positive total return from the investment.

Therefore, an investment is called a smart investment if there is an increase in the value of the investment when it is sold.

For instance, if the investment brings about only income, and this income is negative; that is a decrease in the value of investment when sold, then it is not a smart investment.