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  304. <thead><tr class="left_justify"><th abbr="Author" scope="col" title="Author">Author</th><th abbr="Post: Investment and Rate of Return" scope="col" title="Post: Investment and Rate of Return" class="left_justify">Post: Investment and Rate of Return</th></tr></thead>
  305.  
  306. <tbody><tr class="center_justify even"><td width="100">evan.defilippis<br/><a href="http://dl.tccd.edu/index.php/users/view/evan.defilippis">View Profile</a></td><td class="left_justify"><div style="float:left">posted on : Jun 25, 2010 - 04:59 PM</div><div align="right"><a href="http://dl.tccd.edu/index.php/classforums/posts/event=reply/post_id=1013402">Reply</a> | <a href="http://dl.tccd.edu/index.php/classforums/posts/event=edit/post_id=1013402">Edit</a> </div><hr style="clear:both">
  307.         <p>The "real rate of return" describes the annual percentage return on an investment, taking into account inflation. &nbsp;Because inflation diminishes the real value of both the principal investment and the interest associated with the principal, it must be taken into account when evaluating the benefits of investment. &nbsp;Thus, before making an investment decision, an investor must take into account the expected inflation rate for the year, and decide whether or not marginal benefits outweigh marginal costs.</p>
  308. <p>&nbsp;</p>
  309. <p>Investopedia. "Real Rate Of Return."&nbsp;<em>Investopedia.com - Your Source For Investing Education</em>. N.p., n.d. Web. 25 June 2010. &lt;http://www.investopedia.com/te</p>
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