Which of the following best describes the concept of the "real rate of return" that...

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Accounting

Which of the following best describes the concept of the "real rate of return" that an asset earns?

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It is the actual return that the asset earns after considering all phenomena that erodes the return such as inflation, taxes and foreign exchange rates..

It is the asset's return after adjustment to remove the portion of the return attributable to inflation

It is the portion of the total return that is attributable to inflation only.

It is the actual return that the asset earns without any adjustment for any reason.

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