You plan to borrow $1000 from a bank. In exchange for $1000 today, you promise to pay

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You plan to borrow $1000 from a bank. In exchange for $1000 today, you promise to pay $1080 in one year. What does the cash flow timeline look like from your perspective? What does it look like from the bank’s perspective?

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Fundamentals of Corporate Finance

ISBN: 978-0132148238

2nd edition

Authors: Berk, DeMarzo, Harford

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Question Posted: Jan 14, 2012 02:20 AM

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You plan to borrow $1000 from a bank. In exchange for $1000 today, you promise to pay

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Fundamentals of Corporate Finance

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