Lendor Financial has stock returns of 13.9% per year. The inflation rate is 2.9% and the short-term

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Lendor Financial has stock returns of 13.9% per year. The inflation rate is 2.9% and the short-term US Treasury rate is 3.5%. What is the real rate to Lendor Financial?(use the exact model) Question 7 options: 11.0% 10.4% 10.1% 10.7%

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Management and Cost Accounting

ISBN: 978-1408093887

8th edition

Authors: Colin Drury

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Posted Date: Mar 16, 2024 02:16 PM

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Lendor Financial has stock returns of 13.9% per year. The inflation rate is 2.9% and the short-term

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Expert Answer:

To calculate the real rate to Lendor Financial we can use the Fisher equation 1 ... View the full answer

Management and Cost Accounting

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