True or False: If the real minimum attractive rate of return is 8%, inflation is 4%, the

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True or False: If the real minimum attractive rate of return is 8%, inflation is 4%, the tax rate is 40%, and money can be borrowed at 12% annual compound interest, then the loan should be repaid using Plan 1, i.e., pay interest annually and pay principal at the end of the loan period.

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Principles Of Engineering Economic Analysis

ISBN: 9781118163832

6th Edition

Authors: John A. White, Kenneth E. Case, David B. Pratt

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