Assume inflation is 0.2% per month. Would you rather earn a nominal return of 0.77% per month,
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Assume inflation is 0.2% per month. Would you rather earn a nominal return of 0.77% per month, or a real return of 6.44% APR, compounded annually?
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To compare the two options lets break down the calculations Nominal return of 077 per month To calcu...View the full answer
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Related Book For
Fundamentals Of Corporate Finance
ISBN: 9781292437156
5th Global Edition
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
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